Question

1. Shenzhen Sports Co., Ltd. manufactures golf bags in a two-department process: Assembly and Finishing. The Assembly Department uses weighted average costing; the percentage of completion of overhead in this department is unrelated to direct labor. The Finishing Department adds hardware to the assembled bags and uses FIFO costing; overhead is applied in this department on a direct labor basis. For June, the following production data and costs were gathered:

Assembly Department: Units

Beginning WIP Inventory (100% complete for Direct Materials; 40% complete for Direct Labor; 30% complete for Overhead)	250 units
Units started this period	8,800 units
Ending WIP Inventory (100% complete for Direct Materials; 70% complete for Direct Labor; 90% complete for Overhead)	400 units

Assembly Department: Cost data

	DM	DL	OH
Beginning work in process	P3,755	P690	P250
Added this period	100,320	63,606	27,681

Finishing Department: Units

Beginning WIP Inventory (100% complete for transferred in; 15% complete for Direct Materials; 40% complete for conversion)	100 units
Units transferred in	8,650 units
Ending WIP Inventory (100% complete for transferred in; 30% complete for Direct Materials; 65% complete for conversion)	200 units

Finishing Department: Cost data

	DM	DL	OH
Beginning work in process	P2,176	P30	P95
Added this period	188,570	15,471	21,600

Required: Cost of production reports for Assembly and Finishing Departments.

Answer 1

XI - х Process Costing - Microsoft Excel (Product Activation Failed) File Home Insert Page Layout Formulas Data Review View ♡ X F12 А B с F H I 1 2 D E SHENZHEN SPORTS CO. LTD, FOR ASSEMBLY DEPARTMENT PRODUCTION COST REPORT FOR THE MONTH ENDED JUNE 30 3 4 5 6 7 4,695.00 191,607.00 196,302.00 196,302.00 9 10 11 12 Beginning Inventory Cost incurred in Current Period Total Costs to account for Total Costs accounted for *Difference due to rounding cost/unit Units Reconciliation Units to account for Beginning Work in Process Units started this period This units to account for Total units accounted for Completed and transferred out (Bal Fig) Ending Work in Process Total units accounted for 13 14 250 8,800 9,050 15 16 17 18 8,650 400 9,050 19 20 21 Equivalent Units of Production (EUP) 22 Units % MATERIALS EUP - MATERIALS % LABOUR EUP - LABOUR % OVERHEADS EUP - OVERHEADS 23 24 Units Accounted For Transferred Out Work in Process 25 8,650 400 9,050 100% 100% 100% 8,650.00 400.00 9,050.00 100% 70% 100% 8,650.00 280.00 8,930.00 100% 90% 100% 8,650.00 360.00 9,010.00 26 Total Units Accounted for 27 28 29 Sheet19 Sheet20 Sheet21 Sheet22 Sheet23 Sheet24 Sheet25 Sheet26 Sheet27 Sheet28 KN Ready BO! 100% - W 8:22 PM 15-Sep-20

- х Process Costing - Microsoft Excel (Product Activation Failed) File Home Insert Page Layout Formulas Data Review View ♡ X G42 A B с D E F G H T 30 31 32 33 COSTS PER EUP MATERIALS LABOUR OVERHEADS 34 35 36 37 Cost of Beginning Work in Process Cost incurred in Current Year Total Costs / Equivalent Units Costs per Equivalent Unit of Production Costs EUP 3,755.00 100,320.00 104, 075.00 9,050.00 11.50 Costs EUP 690.00 63,606.00 64,296.00 8,930.00 7.20 Costs EUP 250.00 27,681.00 27,931.00 9,010.00 3.10 38 39 40 41 TOTAL COSTS ACCOUNTED FOR: 42 43 44 45 Ending Work in Process Materials Labour Overheads Total Costs of ending Work in Process 400.00 280.00 360.00 11.50 7.20 3.10 4,600.00 2,016.00 1,116.00 46 7,732.00 47 48 49 50 Transferred Out Materials Labour Overheads EUP 8,650.00 8,650.00 8,650.00 Cost per EUP 11.50 7.20 3.10 Total Cost 99,475.00 62,280.00 26,815.00 51 52 53 Total Cost transferred out 188,570.00 54 55 Total Costs accounted for 196,302.00 56 57 58 Sheet19 Sheet20 Sheet21 Sheet22 Sheet23 Sheet24 Sheet25 Sheet26 Sheet27 Sheet28 Ready BO 100% - w 8:22 PM 15-Sep-20

XI - х Process Costing - Microsoft Excel (Product Activation Failed) File Home Insert Page Layout Formulas Data Review View ♡ X B28 А B B с F H 1 1 2 D E SHENZHEN SPORTS CO. LTD, FOR FINISHING DEPARTMENT PRODUCTION COST REPORT FOR THE MONTH ENDED JUNE 30 3 4 5 6 7 8 Beginning WIP Started during the month UNITS 100 8,650 8,750 9 10 11 Units Transferred out Units Completed during the month 12 8,550 200 8,750 13 14 15 Statement of Equivalent Unit 16 17 TRANSFERRED IN 100.00 % COMPLETE MATERIALS 15% 15.00 CONVERSION 40.00 18 100% 40% UNITS 100 8,650 8,750 19 20 21 Units Introduced Beginning Inventory Total Units Introduced Units to Account for Further Processed & Transferred From Beginning Inventory From Current Year Input (8,750 - 100 - 200) Ending Inventory Total Units Accounted for 60.00 22 23 24 100 8,450 200 8,750 0% 100% 100% 8,450.00 200.00 8,650.00 85% 100% 30% 85.00 8,450.00 60.00 8,595.00 60% 100% 65% 8,450.00 130.00 8,640.00 25 26 27 28 29 KI Sheet20 Sheet21 Sheet22 Sheet23 Sheet24 Sheet25 Sheet26 Sheet27 Sheet28 Sheet29 Ready BOI 100% - w 9:02 PM 15-Sep-20

х Process Costing - Microsoft Excel (Product Activation Failed) File Home Insert Formulas Data Review View V X Page Layout fe B53 А с D E F H 1 29 30 COST OF UNITS TRFD FROM ASSEMBLY DEPARTMENT (P) 31 32 33 Cost added during the month No. of Equivalent Units Cost of Transferred In per unit 188,570.00 8,650.00 21.80 34 35 36 COST OF MATERIALS (P) 37 38 39 Cost added during the month / No. of Equivalent Units Cost of Materials per unit 15,471.00 8,595.00 1.80 40 41 42 CONVERSION COST (P) 43 44 Conversion Cost / No. of Equivalent Units 45 21,600.00 8,640.00 2.50 46 Conversion cost per unit 47 48 49 Cost to Account For Beginning WIP Current Year's Input Transferred In 2,176.00 188,570.00 190,746.00 Materials 30.00 15,471.00 15,501.00 Conversion Cost 95.00 21,600.00 21,695.00 Total 2,301.00 225,641.00 227,942.00 50 51 Total Cost to Account For 52 53 54 55 56 57 Sheet20 Sheet21 Sheet22 Sheet23 Sheet24 Sheet25 Sheet26 Sheet27 Sheet28 Sheet29 Ready BO! 100% + w 9:02 PM 15-Sep-20

х Process Costing - Microsoft Excel (Product Activation Failed) File Home Insert Formulas Data Review View V O X Page Layout foc G87 A B с D E F G H 1 59 Cost Accounted For 60 61 Cost Transferred Out For 8,550 units : 62 63 EUP C.P.U. (P) Given AMOUNT (P) 64 From Opening WIP Transferred In Units Cost Direct Materials (P30 + (85 x 1.80)) Conversion Cost (P95 + (60 x 2.50)) Total Cost of Units Transferred of Opening WIP 65 AMOUNT (P) 2,176.00 183.00 245.00 100 100 100 66 67 2,684.00 68 69 70 71 72 73 74 Add: From Current Month's Input : Transferred In Units Cost Direct Materials Conversion Cost Total Cost of Units Transferred from Current Month's Input 8,450 8,450 8,450 21.80 1.80 2.50 184,210.00 15,210.00 21,125.00 75 220,545.00 76 77 Total Cost of Units Transferred 223, 149.00 78 79 Cost of Ending WIP For 200 Units : 80 81 EUP AMOUNT (P) 82 Transferred In Units Cost Direct Materials Conversion Cost Cost Apportioned to Ending WIP C.P.U. (P) 200 $ 21.80 60 $ 1.80 130 $ 2.50 AMOUNT (P) $ 4,360.00 $ 108.00 $ 325.00 83 5 5 84 85 4,793.00 86 87 Total Cost Accounted For 227,942.00 88 Sheet20 Sheet21 Sheet22 Sheet23 Sheet24 Sheet25 Sheet26 Sheet27 Sheet28 Sheet29 Ready BO! 100% - w 9:03 PM 15-Sep-20

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