Chapter 18, Problem 18.5APR

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, 2016:

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 overhead	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.