Question

Pix Company has the following production data for March: no beginning work in process, units started and completed 33,000, and ending work in process 5,900 units that are 100% complete for materials and 40% complete for conversion costs. Pix uses the FIFO method to compute equivalent units. If unit materials cost is $5 and unit conversion cost is $11. The total costs to be assigned are $583,460, prepare the cost section of the production cost report for Pix Company using the FIFO approach.

Answer 1

The answer has been presented in the supporting sheet. For detailed answer refer to the supporting sheet.

Answer Cost section 5 Cost to account for 5 Work in process March 1 7 Started into production B Total cost 583460 583460 Cost accounted for 1 Transferred out 2 Work in process March 1 3 Cost to complete beginning work in process Conversion cost 5 Total cost 5 units started and completed (33000*(5+11)) 7 Total cost transferred out 3 Work in process March 31 2 Material (5900*5) conversion cost (5900*40%*11) 1 Total cost 528000 528000 29500 25960 55460 583460