Mode] - Word Arial AaBbCcD oard Font STEPS IN PREPARING A COST OF PRODUCTION REPORT (LO 1, 2, 3,4) Stilton Audio is...

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Answer 1

Answer #1

1)	UNITS TO BE ACCOUNTED FOR:	Physical Units
	Work in process, April 1	60000
	Started into production during April	120000
	Total Units	180000
2)	UNITS ACCOUNTED FOR:		Equivalent Units
		Physical Units	Plastic Cabinets	Speaker and Amplifier Cabinets	Conversion Costs
	Units completed and transferred out	150000	150000	150000	150000
	Work in process, April 30	30000	30000	30000	6000
	Total units	180000	180000	180000	156000
3)	COSTS TO ACCOUNT FOR:		Plastic Cabinets	Speaker and Amplifier Cabinets	Conversion Costs	Total Cost
	Cost of WIP, April 1		$ 12,00,000	$ 1,26,00,000	$ 54,00,000	$ 1,92,00,000
	Costs incurred in April		$ 14,46,400	$ 2,68,800	$ 4,86,400	$ 22,01,600
	Total costs to account for		$ 26,46,400	$ 1,28,68,800	$ 58,86,400	$ 2,14,01,600
	Equivalent units		180000	180000	156000
	Cost per equivalent unit		$ 14.70	$ 71.49	$ 37.73
	COSTS ACCOUNTED FOR:
4)	Cost of units completed and transferred		$ 22,05,333	$ 1,07,24,000	$ 56,60,000	$ 1,85,89,333
5)	Cost of ending WIP		$ 4,41,067	$ 21,44,800	$ 2,26,400	$ 28,12,267
	Total costs accounted for		$ 26,46,400	$ 1,28,68,800	$ 58,86,400	$ 2,14,01,600

Answer 2

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