Question

The Sanding Department of Quik Furniture Company has the following production and manufacturing cost data for March 2020, the first month of operation. Production: 7,060 units finished and transferred out; 3,000 units started that are 100% complete as to materials and 20% complete as to conversion costs. Manufacturing costs: Materials $39,234; labor $21,100; overhead $40,180. Prepare a production cost report. (Round unit costs to 2 decimal places, e.g. 2.25 and other answers to o decimal places, e.g. 125.) QUIK FURNITURE COMPANY Sanding Department Production Cost Report For the Month Ended March 31, 2020 Equivalent Units Physical Conversion Units Materials Costs Quantities Units to be accounted for Work in process, March 1 Started into production Total units Units accounted for Transferred out Work in process, March 31 Total units

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Answer 1

Production Cost report

		Equivalent Unit
Quantities	Physical units	Material	Conversion Cost
Units to be accounted for
Work in process, March 1	0
Started into production	10060
Total units	10060
Units accounted for
Transferred out	7060	7060	7060
Work in process, March 31	3000	3000	600
Total Units	10060	10060	7660
Costs		Material	Conversion	Total
Unit cost
Total Cost		39234	61280	100514
Equivalent unit		10060	7660
Unit cost		3.90	8	11.90
Cost to be accounted for
Work in process march 1				0
Started into production				100514
Total Cost				100514
Cost reconciliation schedule
Cost accounted for
Transferred out				84014
Work in process, March 31
Material			11700
Conversion			4800	16500
Total cost				100514