Prepare a Production Cost Report for the Manufacturing Department for the month of January 2021. Recognising that there would be fierce competition to regain lost markets,Management felt that there should be a renewed focus on the productivity andprofitability of the operations.The productivity analysis would focus on the Manufacturing department, and theprofitability would examine both products.To conduct this analysis, you have extracted the following information for theManufacturing Department for the month of January:> At the start of the month there were 1,000 units in stock, which were 20%complete with respect to conversion costs, and was valued at $ 16,000.During the month, 9,000 units were introduced to the production.> At the end of the month there were 1,000 units in stock which were 40%complete with respect to conversion costs.> All Materials are added at the start of the process.> Costs incurred for the month were: Materials - $ 63,000; Conversion costs- $ 139,840.> The Department uses a FIFO costing system.Further examination of the records showed the following:RefrigeratorsStovesSales Mix %Selling PriceVariable Costs60%2,5002,00040%1,200950Fixed Costs were currently $ 120,000You have also learnt that there are only 30,000 machine hours available on thepresent equipment and that the Refrigerators utilizes 2 hours per unit while thestoves uses 2.5 hours.

A Production report Equivalent unit of production Material Conversion…

Answered: Prepare a Production Cost Report for…

Business

Accounting

Prepare a Production Cost Report for the Manufacturing Department for the month of January 2021

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Checker Inc. produces automobile bumpers. Overhead is applied on the basis of machine hours required for cutting and fabricating. A predetermined overhead application rate of $12.70 per machine hour was established for 2019. Required: If 9,000 machine hours were expected to be used during 2019, how much overhead was expected to be incurred? Actual overhead incurred during 2019 totaled $121,650, and 9,100 machine hours were used during 2019. Calculate the amount of over- or underapplied overhead for 2019. (Input the amount as positive value.) Whether the overapplied or underapplied overhead for the year is normally transferred to cost of goods sold in the income statement?
Thank you.
Percent Completed Units Mixing Materials Conversion Work in process inventory, September 1 Work in process inventory, September 30 4 100% 60% 50% 4 100% 20% 10% Mixing Materials Conversion Work in process inventory, September 1 Cost added during September $ 9,456 $ 108 $ 1,828 $ 229,154 $ 23,766 $ 143,449
The Welding Department of Concord Company has the following production and manufacturing cost data for February 2020. All materials are added at the beginning of the process. Manufacturing Costs Production Data Beginning work in process Beginning work in process 15,100 units, 1/10 complete Materials $18,100 Units transferred out 55,400 Conversion costs 14,960 $33,060 Units started 51,300 Materials 237,540 Ending work in process 11,000 units, 1/5 complete Labor 67,900 Overhead 89,940 Prepare a production cost report for the Welding Department for the month of February. (Round unit costs to 2 decimal places, e.g. 2.25 and all other answers to 0 decimal places, e.g. 1,225.)
The Assembly Department of the Long-Distance Golf Club Super Driver Company, has the following production and cost data at the end of March, 2021. Production: 12,600 units started into production; 11,500 units transferred out and 1,100 units 100% completed as to materials and 70% completed as to conversion costs. Manufacturing Costs: Materials added at beginning of process, $49,750; Labor, $61,550; Overhead $32,440. Instructions Prepare a Production Cost Report for the Company for the month of March 2021.
Prepare a schedule of cost of goods manufactured for the year ended June 30, 2021, clearly showingtotal manufacturing cost & total manufacturing costs to account for.
(a) Develop a physical flow schedule for the mixing department for the month of May. (b) Calculate the equivalent units of production for materials and conversion of the mixing department for the month of May. (c) Calculate the unit cost for materials and conversion of the mixing department for the month of May. (d) Calculate the costs of units transferred out and the cost of EWIP for the mixing department for the month of May. (e) Develop a cost reconciliation for the mixing department for the month of May.
Assume you made the following two predictions for 2022 for one of your production facilities: Total manufacturing overhead for the year $15,000,000Total direct labor hours for the year 800,000 Actual results for July 2022 were as follows: Manufacturing overhead $1,238,500Direct labor hours 98,500 Calculate the predetermine overhead rate per direct labor hour for 2022.
prepare entry to assign manufacturing overhead to production, assuming the predetermined overhead rate is 125% of direct labor cost.
Al Shams Manufacturing LLC has furnished the following information for the month of March 2019: Materials used is RO 45,000, Direct labor is RO 28,000, Labor hours worked is 7,000, Hours of machine operation is 5,000 and Overhead cost is RO 21,000. The department during the period has executed an order (job). The relevant information is as follows: Materials used is RO 2,000, Direct labor is RO 1,200, Labor hours worked is 500 and Hours of machines operation is 225. Calculate the overhead chargeable to the job based on percentage of direct material cost. a. RO 945 b. RO 900 c. RO 933 d. RO 1500
Al Sur Manufacturing LLC has furnished the following information for the month of January 2020: Materials used is RO 10,000, Direct labor is RO 20,000, Labor hours worked is 3,000, Hours of machine operation is 2000 and Overhead cost is RO 5000.The department during the period has executed an order. The relevant information is as follows: Materials used is RO 5,000, Direct labor is RO 3000, Labor hours worked is 500 and Hours of machines operation is 300. Calculate the overhead chargeable to the job based on percentage of direct labor cost. a. RO 750 b. RO 835 c. RO 2,500 d. RO 900
a) Compute Everlast Manufacturing Company predetermined manufacturing overhead rate for 2020. b) Determine how much manufacturing overhead was allocated to Job #B4000? c) Calculate the total cost & quotation price of Job #B4000, given that a margin of 20% is applied.