Financial & Managerial Accounting
14th Edition
ISBN: 9781337119207
Author: Carl Warren, James M. Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 17, Problem 17.5APR
Cost of production report: average cost method
Sunrise Coffee Company roasts and packs coffee beans. The process begins in the Roasting Department. From the Roasting Department, the coffee beans are transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at December 31:
| ACCOUNT Work in Process—Roasting Department | ACCOUNT NO. | |||||
| Balance | ||||||
| Date | Item | Debit | Credit | Debit | Credit | |
| Dec. | 1 | Bal., 10,500 units.,75% completed | 21,000 | |||
| 31 | Direct materials, 210,400 units | 246,800 | 267,800 | |||
| 31 | Direct labor | 135,700 | 403,500 | |||
| 31 | Factory |
168,630 | 572,130 | |||
| 31 | Goods transferred, 208,900 units | ? | ? | |||
| 31 | Bal., ?units, 25% completed | ? | ||||
Instructions
Prepare a cost of production report, using the average cost method, and identify the missing amounts for Work in Process—Roasting Department
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Cost of Production Report: Weighted average method
Sunrise Coffee Company roasts and packs coffee beans. The process begins in the Roasting Department. From the Roasting Department, the coffee beans are transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at December 31:
ACCOUNT Work in Process-Roasting Department
ACCOUNT NO.
Date
Item
Debit
Credit
Balance
Debit
Credit
Dec.
1
Bal., 17,300 units, 80% completed
49,997
31
Direct materials, 299,300 units
490,852
540,849
31
Direct labor
268,042
808,891
31
Factory overhead
385,718
1,194,609
31
Goods transferred, 301,900 units
?
?
31
Bal., ? units, 30% completed
?
Required:
Prepare a cost of production report, using the weighted average method, and identify the missing amounts for Work in Process—Roasting Department. Assume that direct materials are placed in process during production. If…
Cost of Production Report: Weighted average method
Sunrise Coffee Company roasts and packs coffee beans. The process begins in the Roasting Department. From the Roasting Department, the coffee beans are transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at December 31:
ACCOUNT Work in Process-Roasting Department
ACCOUNT NO.
Date
Item
Debit
Credit
Balance
Debit
Credit
Dec.
1
Bal., 12,700 units, 40% completed
56,388
31
Direct materials, 219,700 units
553,644
610,032
31
Direct labor
318,934
928,966
31
Factory overhead
458,954
1,387,920
31
Goods transferred, 221,600 units
?
?
31
Bal., ? units, 90% completed
?
Required:
Prepare a cost of production report, using the weighted average method, and identify the missing amounts for Work in Process—Roasting Department. Assume that direct materials are placed in process during production. If…
Cost of Production Report
Mochaccino Express Coffee Company roasts and packs coffee beans. The process begins by placing coffee beans into the Roasting Department. From the Roasting Department, coffee beans are then transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at July 31:
ACCOUNT Work in Process—Roasting Department
ACCOUNT NO.
Date
Item
Debit
Credit
Balance
Debit
Credit
July.
1
Bal., 63,000 units, 90% completed
344,295
31
Direct materials, 324,000 units
1,328,400
1,672,695
31
Direct labor
325,200
1,997,895
31
Factory overhead
120,300
2,118,195
31
Goods transferred, 313,000 units
?
31
Bal., ? units, 55% completed
?
Required:
1. Prepare a cost of production report and identify the missing amounts for Work in Process—Roasting Department. If an amount box does not require an entry, leave it blank. When computing cost per equivalent…
Chapter 17 Solutions
Financial & Managerial Accounting
Ch. 17 - Which type of cost system, process or job order,...Ch. 17 - In job order cost accounting, the three elements...Ch. 17 - In a job order cost system, direct labor and...Ch. 17 - Why is the cost per equivalent unit often...Ch. 17 - What is the purpose for determining the cost per...Ch. 17 - Rameriz Company is a process manufacturer with two...Ch. 17 - Prob. 7DQCh. 17 - Prob. 8DQCh. 17 - How docs lean manufacturing differ from the...Ch. 17 - Job order versus process costing Which of the...
Ch. 17 - Units to be assigned costs Oak Ridge Steel Company...Ch. 17 - Equivalent units of materials cost The Rolling...Ch. 17 - Equivalent units of conversion costs The Rolling...Ch. 17 - Cost per equivalent unit The cost of direct...Ch. 17 - Cost of units transferred out and ending work in...Ch. 17 - Process cost journal entries In July, the cost of...Ch. 17 - Analyzing changes in unit costs The Costs of...Ch. 17 - Entries for materials cost flows in a process cost...Ch. 17 - Flowchart of accounts related to service and...Ch. 17 - Entries for flow of factory costs for process cost...Ch. 17 - Factory overhead rate, entry for applying factory...Ch. 17 - Equivalent units of production The Converting...Ch. 17 - Equivalent units of production Units of production...Ch. 17 - Equivalent units of production The following...Ch. 17 - Costs per equivalent unit A. Based upon the data...Ch. 17 - Prob. 17.9EXCh. 17 - Costs per equivalent unit Georgia Products Inc....Ch. 17 - Equivalent units of production and related costs...Ch. 17 - Cost of units completed and in process A. Based on...Ch. 17 - Errors in equivalent unit computation Napco...Ch. 17 - Cost per equivalent unit The following information...Ch. 17 - Costs per equivalent unit and production costs...Ch. 17 - Cost of production report The debits to Work in...Ch. 17 - Cost of production report The Cutting Department...Ch. 17 - Cost of production and journal entries AccuBlade...Ch. 17 - Cost of production and journal entries Lighthouse...Ch. 17 - Prob. 17.20EXCh. 17 - Lean manufacturing The following are some quotes...Ch. 17 - Equivalent units of production: average cost...Ch. 17 - Equivalent units of production: average cost...Ch. 17 - Equivalent units of production: average cost...Ch. 17 - Equivalent units of production and related costs...Ch. 17 - Cost per equivalent unit: average cost method The...Ch. 17 - Prob. 17.27EXCh. 17 - Cost of production report: average cost method...Ch. 17 - Entries for process cost system Port Ormond Carpet...Ch. 17 - Cost of production report Hana Coffee Company...Ch. 17 - Equivalent units and related costs; cost of...Ch. 17 - Work in process account data for two months; cost...Ch. 17 - Cost of production report: average cost method...Ch. 17 - Entries for process cost system Preston Grover...Ch. 17 - Cost of production report Bavarian Chocolate...Ch. 17 - Prob. 17.3BPRCh. 17 - Work in process account data for two months; cost...Ch. 17 - Prob. 17.5BPRCh. 17 - Analyzing process cost elements across product...Ch. 17 - Prob. 2ADMCh. 17 - Prob. 3ADMCh. 17 - Ethics in Action You arc the Cookie division...Ch. 17 - Prob. 17.3TIF
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