Question

The Welding Department of Healthy Company has the following production and manufacturing cost data for February 2017. All materials are added at the beginning of the process. Manufacturing Costs Production Data Beginning work in process Beginning work in process 15,000 units, 1/10 complete Materials $18,000 Units transferred out 54,600 Conversion costs 14,360 $32,360 Units started 50,900 Materials 200,129 Ending work in process 11,300 units, 1/5 complete Labor 67,500 Overhead 84,171 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.)

Answer 1

HEALTHY MANUFACTURING COMPANY
Welding Department
Production Cost Report
For the Month Ended February 28, 2017
Equivalent Units
Physical Units		Materials	Conversion Costs
Units to be accounted for
Work in process, February 1	15000
Started into production	50900
Total units	65900
Units accounted for
Transferred out	54600	54600	54600
Work in process, February 28	11300	11300	2260
Total units	65900	65900	56860
		Materials	Conversion Costs	Total
Unit costs:
Total costs		218129	166031	384160
Equivalent units		65900	56860
Unit costs		3.31	2.92	6.23
Costs to be accounted for
Work in process, February 1				32360
Started into production				351800
Total costs				384160
Cost Reconciliation Schedule
Costs accounted for
Transferred out				340158	=54600*6.23
Work in process, February 28
Materials			37403		=11300*3.31
Conversion costs			6599	44002	=2260*2.92
Total costs				384160