Question

Cost of Production Report: Weighted average method

The increases to Work in Process—Roasting Department for Highlands Coffee Company for May as well as information concerning production are as follows:

Work in process, May 1, 1,150 pounds, 40% completed$1,700

Coffee beans added during May, 10,900 pounds28,600

Conversion costs during May12,504

Work in process, May 31, 800 pounds, 80% completed_

Goods finished during May, 11,250 pounds_

Prepare a cost of production report for May, using the Weighted average method. Assume that direct materials are placed in process during production. If required, round cost per equivalent unit answers to the nearest cent.

Highlands Coffee Company

Cost of Production Report-Roasting Department

For the Month Ended May 31

Unit Information

Units charged to production:

Inventory in process, May 1

Received from materials storeroom

Total units accounted for by the Roasting Department

Units to be assigned costs:

Whole UnitsEquivalent Units of Production   

Transferred to finished goods in May --------------------- --------------------

Inventory in process, May 31 --------------------- -----------------

Total units to be assigned costs-------------------- ------------------

Cost Information

Cost per equivalent unit:

Costs

Total costs for May in Roasting Department$ -----

Total equivalent units ------

Cost per equivalent unit$ -------------

Costs assigned to production:

Inventory in process, May 1$ --------------

Costs incurred in May --------------

Total costs accounted for by the Roasting Department$ -----------------------

Costs allocated to completed and partially completed units:

Transferred to finished goods in May$------------------

Inventory in process, May 31 ------------------------

Total costs assigned by the Roasting Department$ --------------------

Answer 1

Answer

Highlands coffee company

Cost of Production Report-Roasting Department

Unit Information
Units charged to production:
Inventory in process, May 1	1150
Received from materials storeroom	10900
Total units accounted for	12050
	Whole unit	Equivalent units
		of production
Units to be assigned cost:
Transferred to finished goods in May	11250	11250
Inventory in process, May 31	800	640 (800*80%)
Total units to be assigned cost	12050	11890
Cost information
Cost per equivalent units:
	Costs
Total cost for May in roasting deptt.	42804 (1700+28600+12504)
Total equivalent units	11890
Cost per equivalent unit	$3.6 (42804/11890)
Cost assigned to production:
Inventory in process, May 1	$1700
Cost incurred in May	41104
Total cost accounted by roasting deptt.	42804
Cost allocated too Complete and partially completed units:
Transferred to finished goods in May	$40500
Inventory in process, May 31	2304 (640*3.6)
Total cost assigned by roasting deptt.	$42804