Question

Kansas Supplies is a manufacturer of plastic parts that uses the weighted-average process costing method to account for costs of production. It produces parts in three separate departments: Molding, Assembling, and Packaging. The following information was obtained for the Assembling Department for the month of April.

Work in process on April 1 had 103,000 units made up of the following.

	Amount			Degree of Completion
Prior department costs transferred in from the Molding Department	$	135,960			100	%
Costs added by the Assembling Department
Direct materials	$	82,400			100	%
Direct labor		35,101			70	%
Manufacturing overhead		17,202			50	%
	$	134,703
Work in process, April 1	$	270,663

During April, 503,000 units were transferred in from the Molding Department at a cost of $663,960. The Assembling Department added the following costs.

Direct materials	$	386,160
Direct labor		162,789
Manufacturing overhead		103,848
Total costs added	$	652,797

Assembling finished 403,000 units and transferred them to the Packaging Department.

At April 30, 203,000 units were still in work-in-process inventory. The degree of completion of work-in-process inventory at April 30 was as follows.

Direct materials	90	%
Direct labor	80
Manufacturing overhead	40

Required:

a. Prepare a production cost report using FIFO. (Round "Cost per equivalent unit" to 2 decimal places.)

KANSAS SUPPLIES Assembling Department Production Cost Report-FIFO Physical Units Total Costs Prior Department Materials Costs Labor Manufacturing Overhead Flow of Production Units Units to be accounted for: Beginning WIP inventory Units started this period Total units to be accounted for Units accounted for: Units completed and transferred out: From beginning inventory Started and completed currently Units in ending WIP inventory Total units accounted for 0 0 0 0 0 Costs to be accounted for: Costs in beginning WIP inventory Current period costs Total costs to be accounted for 0 $ 0 $ 0 $ 0 $ Cost per equivalent unit: Prior department costs Materials Labor Manufacturing overhead

Kansas Supplies is a manufacturer of plastic parts that uses the weighted-average process costing method to account for costs of production. It produces parts in three separate departments: Molding, Assembling, and Packaging. The following information was obtained for the Assembling Department for the month of April.

Work in process on April 1 had 112,000 units made up of the following.

	Amount			Degree of Completion
Prior department costs transferred in from the Molding Department	$	157,920			100	%
Costs added by the Assembling Department
Direct materials	$	89,600			100	%
Direct labor		36,744			60	%
Manufacturing overhead		28,416			50	%
	$	154,760
Work in process, April 1	$	312,680

During April, 512,000 units were transferred in from the Molding Department at a cost of $721,920. The Assembling Department added the following costs.

Direct materials	$	375,680
Direct labor		187,416
Manufacturing overhead		145,464
Total costs added	$	708,560

Assembling finished 412,000 units and transferred them to the Packaging Department.

At April 30, 212,000 units were still in work-in-process inventory. The degree of completion of work-in-process inventory at April 30 was as follows.

Direct materials	80	%
Direct labor	70
Manufacturing overhead	40

Required:

a. Prepare a production cost report using the weighted-average method. (Round "Cost per equivalent unit" to 2 decimal places.)

Answer 1

KANSAS SUPPLIES Assembling Dept Production cost Report - FIFO Physical Units Total Costs Prior Dept. cost Materials Labor Manufacturing Overheads particulars Flow of Production Units Units to be accounted for Beginning WIP Inventory Units started this period Total Units to be accounted for 103000 503000 606000 Units accounted for Units completed and transferred out From Begingin Inventory Started and completed currently Units in Ending WIP inventory Total Units accounted for 103000 300000 203000 606000 Costs to be accounted for Costs in beginning WIP inventory Current period costs Total Costs to be accounted for 270663 1316757 1587420 13596082400 35101 663960 386160 162789 799920468560 197890 17202 103848 121050 1.32 Cost per equivalent Unit Prior Department costs Material Labor Manufacturing Overheads 0.24 270663 13596082400 35101 17202 Costs accounted for Costs assigned to units transferred out costs from beginning WIP inventory Current costs added to complete beginning WIP inventory Prior Department Costs Materials Labor manufacturing Overheads Total costs from beginning inventory 10197 10197 12360 293220 12360 396000 240000 Current costs of units started and completed Prior department costs Material Labor manufacturing overheads Total costs of units startedd and completed Total costs of units transferred out 99000 3960001 240000 99000 720001 807000 1100220 72000 72000 396000 240000 99000 267960 146160 Costs assigned to ending WIP inventory Prior department costs Materials labor Manufacturing Overheads Total ending WIP inventory Total costs accounted for 53592 267960 1461601 53592 19488 487200 1587420 19488 19488 2679601 146160 535921

Prior Dept. cost Materials Labor Manufacturing Overhead completion in completion in completion in completion in Eq Units current period Eq Units current period Eq Units current period Eq Units current period units 0% 0% 30% opening wip completed started and finishedd cl wip Total Eq Units 103000 300000 300000 203000 203000 606000 503000 100% 100% 300000 182700 482700 100% 90% 30900 300000 162400 493300 30% 100% 80% 51500 300000 81200 432700 50% 100% 40% Cost per Eq Units Cost incurred in current period Eq Units Cost per Eq Units Prior Dept. cost 663960 503000 1.32 Materials 386160 482700 0.8 Labor 162789 493300 0.33 Manufacturing Overhead total 103848 1316757 432700 0.24

KANSAS SUPPLIES Assembling Dept Production cost Report - weighted average Physical Units Total Costs Prior Dept. cost Materials Labor Manufacturing Overheads particulars Flow of Production Units Units to be accounted for Beginning WIP Inventory Units started this period Total Units to be accounted for 112000 512000 624000 412000 Units accounted for Units completed and transferred out From Begingin Inventory Started and completed currently Total transferred out Units in Ending WIP inventory Total Units accounted for 412000 212000 624000 Costs to be accounted for Costs in beginning WIP inventory Current period costs Total Costs to be accounted for 312680 1430480 17431601 15792089600 36744 7219201 375680 187416 879840 465280 224160 28416 145464 173880 1.41 Cost per equivalent Unit Prior Department costs Material Labor Manufacturing Overheads 0.35 580920 Costs accounted for Costs assigned to units transferred out Prior Department Costs Materials Labor manufacturing Overheads Total costs of units transferred out 329600 580920 329600 164800 144200 1219520 164800 144200 144200 580920 329600 164800 298920 135680 Costs assigned to ending WIP inventory Prior department costs Materials labor Manufacturing Overheads Total ending WIP inventory Total costs accounted for 59360 298920 135680 59360 29680 523640 1743160 298920 135680 59360 879840465280 224160 29680 29680 173880

Prior Dept. cost Materials Labor Manufacturing Overhead completion in completion in completion in completion in Eq Units current period Eq Units current period Eq Units current period Eq Units current period units started and finishedd cl wip Total Eq Units 412000 412000 212000 212000 624000 624000 100% 100% 412000 169600 581600 100% 80% 412000 148400 560400 100% 70% 412000 84800 496800 100% 40% Cost per Eq Units total cost Eq Units Cost per Eq Units Prior Dept. cost 879840 624000 1.41 Materials 465280 581600 0.8 Labor 224160 560400 0.4 Manufacturing Overhead total 173880 1743160 496800 0.35