Exercise 6-9 UNEVEN APPLICATION – MULTIPLE DEPTS The Matis Manufacturing Company uses average costing and manufactures a single product in two producing departments. For the month of April, the cost and production data were as follows: Mixing Finishing Quantity Data: WIP, beg 5,000 6,000 Stage of Completion Materials 100% -0- Conversion Cost 50% 60% Started in Process 10,000 Transferred to the next Dep’t. 10,000 11,000 WIP, end 5,000 5,000 Stage of Completion Materials 80% -0- Conversion Cost 40% 50% Cost data: Cost in WIP, beg Costs from preceding Dep’t - P63,000 Materials P42,000 - Direct labor 35,000 62,500 Factory Overhead 20,500 45,000 Costs added this month Materials 90,000 - Direct labor 52,000 140,000 Factory Overhead 37,500 90,000 Prepare a cost of production report for both departments for the month of April.
Exercise 6-9 UNEVEN APPLICATION – MULTIPLE DEPTS
The Matis Manufacturing Company uses average costing and manufactures a single product in two
producing departments. For the month of April, the cost and production data were as follows:
Mixing Finishing
Quantity Data:
WIP, beg 5,000 6,000
Stage of Completion
Materials 100% -0-
Conversion Cost 50% 60%
Started in Process 10,000
Transferred to the next Dep’t. 10,000 11,000
WIP, end 5,000 5,000
Stage of Completion
Materials 80% -0-
Conversion Cost 40% 50%
Cost data:
Cost in WIP, beg
Costs from preceding Dep’t - P63,000
Materials P42,000 -
Direct labor 35,000 62,500
Factory Overhead 20,500 45,000
Costs added this month
Materials 90,000 -
Direct labor 52,000 140,000
Factory Overhead 37,500 90,000
Prepare a cost of production report for both departments for the month of April.
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