Cost of production report: A company’s Department 2 costs for June were; Cost from Department 1 ………………………………..Rs. 16,320 Cost added in Department 2: Materials ……………………………………………………… 43,415 Labor …………………………………………………………… 56,100 Factory overhead ………………………………………. 58,585 The quantity schedule shows 12,000 units were received during the month from Department 1; 7,000 units were transferred to finished goods; and 5,000 units in process at the end of June were 50% complete as to materials cost and 25% complete at to conversion cost. REQUIRED: a) Equivalent Production Unit b) Unit Cost at Depart 2, c) Cost of Units transferred to Finished goods d) Cost of Work in Process at the end of June

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Cost of production report: A company’s Department 2 costs for June were;  

  Cost from Department 1 ………………………………..Rs. 16,320

Cost added in Department 2:

Materials ……………………………………………………… 43,415    

Labor  …………………………………………………………… 56,100

Factory overhead   ……………………………………….  58,585

The quantity schedule shows 12,000 units were received during the month from Department 1; 7,000 units were transferred to finished goods; and 5,000 units in process at the end of June were 50% complete as to materials cost and 25% complete at to conversion cost. 

REQUIRED:  

a) Equivalent Production Unit  

b)  Unit Cost at Depart 2,

 c) Cost of Units transferred to Finished goods

 d)  Cost of Work in Process at the end of June 

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