Question

create a model for a production cost report using the weighted average method for the month of May.   Following good Excel design techniques, you should have an input area in which you put the department information for the month, and an output area that calculates the production cost report. As always, you should have only formulas or references in your output area. You should also include directions (in a text box) for users.

After completion of the production cost report using the weighted average method, create a new worksheet and label the tab “FIFO”. Create a production cost report using the same information using the FIFO method.

Department Data:

Information about units:
Units in beginning WIP	21,000
Started during the month	240,000
Units in Ending WIP	20,000
Percentage of Completion:
Beginning Inventory:
Direct materials	40%
Conversion	70%
Ending Inventory:
Direct Materials	30%
Conversion	60%
Costs in Beginning WIP:
Direct materials	$210,000
Conversion	$135,000
Costs incurred during the month:
Direct Materials	$1,150,000
Direct Labor	$45,000
Overhead	$605,000

Answer 1