Question

a) The Jackpots Dreams Cards Company is a card manufacturer. All direct materials and conversion costs are applied to all of Proball Trading Cards’ products at an even rate throughout the manufacturing process. For August, the beginning work in process inventory for the Finishing Department was 9,600 units that averaged 65 percent complete. Ending work in process inventory was 18,500 units averaging 45 percent complete. Production data shows 188,400 units were started during the period. Beginning work in process inventory costs totaled $11,282 including $7,296 for conversion costs. For the month of August, additional costs totaling $75,264 for direct materials and $111,034 for conversion costs were added in the production department during the period. 1) Prepare in good form a process report. 2) Prepare the journal entry to move costs to finished goods. 3) Prepare any journal entry, if required, for costs remaining in WIP.

Please provide an excel file if possible.

Answer 1

Process cost Summary Report - Weighted Average Method -Jackpots Dreams
Unit Reconciliation:
Units To Account For:
Beginning Work In Process Inventory	9600
Units Started this Period	188400
Total Units To Account For	198000
Total Units Accounted For:
Units Completed And Transferred	179500
Ending Work In Process	18500
Total Units To Account For	198000
Equivalent Units Of Production (Eup)- Weighted Average Method
	Units	% Materials	EUP- Materials	% Conversion	EUP-Conversion
Units Completed And Transferred	179500	100	179500	100	179500
Ending Work In Process	18500	100	18500	35	6475
Total Units	198000		198000		185975
Cost Per Equivalent Unit Of Production			Materials		Conversion
Costs Of Beginning Work In Process			$3,986.00		$7,296.00
Costs Incurred This Period			$75,264.00		$111,034.00
Total Costs		Costs	$79,250.00	Costs	$118,330.00
÷ Equivalent Units Of Production		EUP	198000	EUP	185975
Cost Per Equivalent Unit Of Production (Rounded To 2 Decimals)			$0.40		$0.64
Total Costs Accounted For:
Cost Of Units Transferred Out:	EUP	Cost per EUP	Total cost
Direct Materials	179500	$0.40	$71,845.33
Conversion	179500	$0.64	$114,210.16
Total Costs Transferred Out				$186,055.49
Costs Of Ending Work In Process	EUP	Cost per EUP	Total cost
Direct Materials	18500	$0.40	$7,404.67
Conversion	6475	$0.64	$4,119.84
Total Cost Of Ending Work In Process				$11,524.51
Total Costs Accounted For				$197,580.00

Part-2 Journal Entry
Account Tittle	Debit	Credit
Finished Goods	$186,055.49
WIP- Finishing Department		$186,055.49

Part-3 No Entry