Beverly Plastics produces a part used in precision machining. The part is produced in two departments: Mixing and Refining. The raw material is introduced into the process in the Mixing Department. The cost of the material fluctuates significantly month to month based on market conditions. Information on costs and operations in the Refining Department for September follow: WIP inventory-Refining Beginning inventory (17,500 units, 10% complete with respect to Refining costs) Transferred-in costs (from Mixing) Refining conversion costs Current work (55,300 units started) Mixing costs Refining costs $ 249,055 9,676 Required: a. Complete the production cost report using the FIFO method. Note: Round "Cost per equivalent unit" to 2 decimal places. $ 910,625 103,140 The ending Inventory has 15,200 units, which are 90 percent complete with respect to Refining Department costs.
Beverly Plastics produces a part used in precision machining. The part is produced in two departments: Mixing and Refining. The raw material is introduced into the process in the Mixing Department. The cost of the material fluctuates significantly month to month based on market conditions. Information on costs and operations in the Refining Department for September follow: WIP inventory-Refining Beginning inventory (17,500 units, 10% complete with respect to Refining costs) Transferred-in costs (from Mixing) Refining conversion costs Current work (55,300 units started) Mixing costs Refining costs $ 249,055 9,676 Required: a. Complete the production cost report using the FIFO method. Note: Round "Cost per equivalent unit" to 2 decimal places. $ 910,625 103,140 The ending Inventory has 15,200 units, which are 90 percent complete with respect to Refining Department costs.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Exercise 8-52 (Algo) Prepare a Production Cost Report: FIFO Method (LO 8-2, 4, 5, 6)
Beverly Plastics produces a part used in precision machining. The part is produced in two departments: Mixing
and Refining. The raw material is introduced into the process in the Mixing Department. The cost of the material
fluctuates significantly month to month based on market conditions. Information on costs and operations in the
Refining Department for September follow:
WIP inventory-Refining
Beginning inventory
(17,500 units, 10% complete with respect to Refining costs)
Transferred-in costs (from Mixing)
Refining conversion costs
Current work (55,300 units started)
Mixing costs
Refining costs
$ 249,055
9,676
Required:
a. Complete the production cost report using the FIFO method.
Note: Round "Cost per equivalent unit" to 2 decimal places.
$ 910,625
103,140
The ending Inventory has 15,200 units, which are 90 percent complete with respect to Refining Department
costs.
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