n a single-process production system, Phunky Phingers produces wool gloves. For November, the company’s accounting records reflected the following Beginning WIP Inventory (100% complete as to material; 30% complete as to direct labor; 60% complete as to overhead 14,400 units Units started during the month 108,000 units Ending WIP Inventory (100% complete as to material; 40% complete as to direct labor; 80% complete as to overhead) 24,000 units Cost Component November 1 During November Direct material $15,624 $108,000 Direct labor $2,290 $54,950 Overhead $5,563 $84,989 b. For November, prepare a cost of production report, assuming that the company uses the FIFO method. Note: Round the costs per EUP to the nearest two decimal points; use the rounded amounts in subsequent calculations. Note: Other than costs per EUP, round all amounts to the nearest whole dollar.
n a single-process production system, Phunky Phingers produces wool gloves. For November, the company’s accounting records reflected the following Beginning WIP Inventory (100% complete as to material; 30% complete as to direct labor; 60% complete as to overhead 14,400 units Units started during the month 108,000 units Ending WIP Inventory (100% complete as to material; 40% complete as to direct labor; 80% complete as to overhead) 24,000 units Cost Component November 1 During November Direct material $15,624 $108,000 Direct labor $2,290 $54,950 Overhead $5,563 $84,989 b. For November, prepare a cost of production report, assuming that the company uses the FIFO method. Note: Round the costs per EUP to the nearest two decimal points; use the rounded amounts in subsequent calculations. Note: Other than costs per EUP, round all amounts to the nearest whole dollar.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
In a single-process production system, Phunky Phingers produces wool gloves. For November, the company’s accounting records reflected the following
| Beginning WIP Inventory (100% complete as to material; 30% complete as to direct labor; 60% complete as to overhead | 14,400 | units |
| Units started during the month | 108,000 | units |
| Ending WIP Inventory (100% complete as to material; 40% complete as to direct labor; 80% complete as to overhead) | 24,000 | units |
| Cost Component | November 1 | During November |
| Direct material | $15,624 | $108,000 |
| Direct labor | $2,290 | $54,950 |
| Overhead | $5,563 | $84,989 |
b. For November, prepare a cost of production report, assuming that the company uses the FIFO method.
Note: Round the costs per EUP to the nearest two decimal points; use the rounded amounts in subsequent calculations.
Note: Other than costs per EUP, round all amounts to the nearest whole dollar.
Transcribed Image Text:Phunky Phingers
Cost of Production Report (FIFO Method)
For the Month of November
Production Data:
Units
Beginning WIP inventory
Units started
Units to account for
Units
Material
Labor
Overhead
Beginning WIP Inventory (0%, 70%, 40%)
Started & completed
Ending WIP inventory (100%, 40%6, 80%)
Units accounted for
Cost Data:
Total
Material
Labor
Overhead
Beginning WIP Inventory
24
Current costs
$
$
$
Cost to account for
$
Divided by EUP
Cost per EUP
2$
Cost Assignment
Transferred out:
Beginning WIP Inventory
Complete beginning WIP
DL
он
$
Started & completed
$
Ending WIP Inventory:
Material
Direct labor
Overhead
24
Total cost accounted for
$
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education