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Cost of Production Report Hana Coffee Company roasts and packs coffee beans. The process begins by...

Cost of Production Report

Hana Coffee Company roasts and packs coffee beans. The process begins by placing coffee beans into the Roasting Department. From the Roasting Department, coffee beans are then transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at July 31:

ACCOUNT Work in Process—Roasting Department ACCOUNT NO.
Date Item Debit Credit Balance
Debit Credit
July 1 Bal., 30,000 units, 10% completed 121,800
31 Direct materials, 155,000 units 620,000 741,800
31 Direct labor 90,000 831,800
31 Factory overhead 33,272 865,072
31 Goods transferred, 149,000 units ?
31 Bal., ? units, 45% completed ?

Required:

1. Prepare a cost of production report, and identify the missing amounts for Work in Process—Roasting Department. If an amount is zero, enter "0". When computing cost per equivalent units, round to the nearest cent.

Hana Coffee Company
Cost of Production Report-Roasting Department
For the Month Ended July 31
Unit Information
Units charged to production:
Inventory in process, July 1 fill in the blank 1bcd7efd405f031_1
Received from materials storeroom fill in the blank 1bcd7efd405f031_2
Total units accounted for by the Roasting Department fill in the blank 1bcd7efd405f031_3
Units to be assigned costs:
Equivalent Units
Whole Units Direct Materials Conversion
Inventory in process, July 1 fill in the blank 1bcd7efd405f031_4 fill in the blank 1bcd7efd405f031_5 fill in the blank 1bcd7efd405f031_6
Started and completed in July fill in the blank 1bcd7efd405f031_7 fill in the blank 1bcd7efd405f031_8 fill in the blank 1bcd7efd405f031_9
Transferred to Packing Department in July fill in the blank 1bcd7efd405f031_10 fill in the blank 1bcd7efd405f031_11 fill in the blank 1bcd7efd405f031_12
Inventory in process, July 31 fill in the blank 1bcd7efd405f031_13 fill in the blank 1bcd7efd405f031_14 fill in the blank 1bcd7efd405f031_15
Total units to be assigned costs fill in the blank 1bcd7efd405f031_16 fill in the blank 1bcd7efd405f031_17 fill in the blank 1bcd7efd405f031_18
Cost Information
Cost per equivalent unit:
Direct Materials Conversion
Total costs for July in Roasting Department $fill in the blank 1bcd7efd405f031_19 $fill in the blank 1bcd7efd405f031_20
Total equivalent units fill in the blank 1bcd7efd405f031_21 fill in the blank 1bcd7efd405f031_22
Cost per equivalent unit $fill in the blank 1bcd7efd405f031_23 $fill in the blank 1bcd7efd405f031_24
Costs assigned to production:
Direct Materials Conversion Total
Inventory in process, July 1 $fill in the blank 1bcd7efd405f031_25
Costs incurred in July fill in the blank 1bcd7efd405f031_26
Total costs accounted for by the Roasting Department $fill in the blank 1bcd7efd405f031_27
Costs allocated to completed and partially completed units:
Inventory in process, July 1 balance $fill in the blank 1bcd7efd405f031_28
To complete inventory in process, July 1 $fill in the blank 1bcd7efd405f031_29 $fill in the blank 1bcd7efd405f031_30 fill in the blank 1bcd7efd405f031_31
Cost of completed July 1 work in process $fill in the blank 1bcd7efd405f031_32
Started and completed in July fill in the blank 1bcd7efd405f031_33 fill in the blank 1bcd7efd405f031_34 fill in the blank 1bcd7efd405f031_35
Transferred to Packing Department in July $fill in the blank 1bcd7efd405f031_36
Inventory in process, July 31 fill in the blank 1bcd7efd405f031_37 fill in the blank 1bcd7efd405f031_38 fill in the blank 1bcd7efd405f031_39
Total costs assigned by the Roasting Department $fill in the blank 1bcd7efd405f031_40

Feedback

2. Assuming that the July 1 work in process inventory includes $119,400 of direct materials, determine the increase or decrease in the cost per equivalent unit for direct materials and conversion between June and July. If required, round your answers to two decimal places.

Increase or Decrease Amount
Change in direct materials cost per equivalent unit $fill in the blank a7abf6f98f82fc6_2
Change in conversion cost per equivalent unit $fill in the blank a7abf6f98f82fc6_4

Show Work please

Solutions

Expert Solution

Hana Coffee Company
Cost of Production Report-Roasting Department
For the Month Ended July 31
Unit Information
Units charged to production:
Inventory in process, July 1 30000
Received from materials storeroom 155000
Total units accounted for by the Roasting Department 185000
Units to be assigned costs:
Equivalent Units
Whole Units Direct Materials Conversion
Inventory in process, July 1 30000 0 27000 =30000*(1-10%)
Started and completed in July 119000 119000 119000 =149000-30000
Transferred to Packing Department in July 149000 119000 146000
Inventory in process, July 31 36000 36000 16200 =36000*45%
Total units to be assigned costs 185000 155000 162200
Cost Information
Costs per equivalent unit:
Direct Materials Conversion
Total costs for July in Roasting Department 620000 123272
Total equivalent units 155000 162200
Cost per equivalent unit 4.00 0.76
Costs charged to production:
Direct Materials Conversion Total
Inventory in process, July 1 121800
Costs incurred in July 743272
Total costs accounted for by the Roasting Department 865072
Cost allocated to completed and partially completed units:
Inventory in process, July 1 balance 121800
To complete inventory in process, July 1 0 20520 20520
Cost of completed July 1 work in process 142320
Started and completed in July 476000 90440 566440
Transferred to Packing Department in July 708760
Inventory in process, July 31 144000 12312 156312
Total costs assigned by the Roasting Department 865072
2
Increase or Decrease Amount
Change in direct materials cost per equivalent unit Increase 0.02 =4-(119400/30000)
Change in conversion cost per equivalent unit Decrease 0.04 =0.76-((121800-119400)/(30000*10%))
Workings:
To complete inventory in process, July 1 0 =27000*0.76
Started and completed in July =119000*4 =119000*0.76
Inventory in process, July 31 =36000*4 =16200*0.76

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