Question

Lansing, Inc. provides the following information for one of its department's operations for June (no new material is added in Department T). WIP inventory-Department T Beginning inventory (8,600 units, 208 complete with respect to Department T costs) Transferred-in costs (from Department S) Department T conversion costs Current work (19,700 units started) Prior department costs Department costs $ 41,030 11, 110 100, 470 198.240 The ending inventory has 3,600 units, which are 50 percent complete with respect to Department T costs and 100 percent complete for prior department costs. Required: Complete the production cost report using FIFO. (Round "Cost per equivalent unit" to 2 decimal places.) Physical Units Equivalent Units Prior Department Department T Flow of units: Units to be accounted for: Beginning WIP inventory Units started this period Total units to account for Units accounted for Completed and transferred out From beginning WIP inventory Prior department Department Started and completed currently Units in ending WIP inventory Prior department Department T Total units accounted for Total Prior Department Department Flow of costs: Costs to be accounted for: Costs in beginning WIP inventory Current period costs Total costs to be accounted for Cost per equivalent unit Prior department S 0S 0S

Answer 1

Answer

	Physical Units	Prior Department	Department T
Flow of Units:
Units to be accounted for:
Beginning WIP inventory	8,600
Units started this period	19,700
Total Units to account for	28,300
Units accounted for:
Completed & Transferred out
From Beginning WIP Inventory	8,600
Prior Department		-
Department T			6,880
Started & Completed currently	16,100	16,100	16,100
Units in Ending WIP Inventory	3,600
Prior Department		3,600
Department T			1,800
Total units accounted for	28,300	19,700	24,780

	TOTAL	Prior Department	Department T
Flow of Costs:
Cost of be accounted for:
Costs in beginning WIP Inventory	$                       52,140.00	$                   41,030.00	$          11,110.00
Current Period Costs	$                     298,710.00	$                 100,470.00	$       198,240.00
Total Cost to be accounted for	$                     350,850.00	$                 141,500.00	$       209,350.00
Cost per Equivalent units
Prior Department		$                              5.10
Department T			$                    8.00
Costs accounted for:
Costs assigned to units transferred out:
Costs from beginning WIP Inventory	$                       52,140.00	$                   41,030.00	$          11,110.00
Current Costs added to complete beginning WIP Inventory	$                       55,040.00
Prior Department		$                                   -
Department T			$          55,040.00
Current Costs of units started and completed:	$                     210,910.00
Prior Department		$                   82,110.00
Department T			$       128,800.00
Total cost transferred out	$                     318,090.00	$                 123,140.00	$       194,950.00
Cost of ending WIP Inventory	$                       32,760.00
Prior Department		$                   18,360.00
Department T			$          14,400.00
Total costs accounted for	$                     350,850.00	$                 141,500.00	$       209,350.00