Question

Pix Company has the following production data for March: no beginning work in process, units started and completed 27,000, and ending work in process 3,300 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 $6 and unit conversion cost is $10. The total costs to be assigned are $465,000, prepare the cost section of the production cost report for Pix Company using the FIFO approach.

PIX COMPANY (Partial Production Cost Report For the Month Ended March 31 COSTS Conversion Costs Materials Total Unit costs Total costs $ Equivalent units Unit costs $ Costs to be accounted for In process, March 1 Started into production Total costs Costs accounted for Transferred out In process, March 1 Started and completed In process, March 31 Materials Conversion costs Total costs

Answer 1

Production Cost report

	Direct material	Conversion	Total
Unit Cost
Total Cost	181800	283200	465000
Equivalent unit	30300	28320
Unit cost	6	10	16
Cost to be accounted for
In process, March 1			0
Started into production			465000
Total Cost			465000
Cost accounted for
In process, March 1			0
Started and completed			432000
In process March 31
Materials		19800
Conversion cost		13200	33000
Total Costs			465000