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Process Costing- cost of production report

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Coastal Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the distilling department. From the distilling department , the materials pass through the reaction and filling departments , emerging as finished chemicals.
The balance of the account Work in process-Filling was as follows on Oct 1,2003

Work in process -Filling Department (800 units , 60% completed) $15,520

The following costs were charged to Work in process-Filling during October:

Direct materials transferred from Reaction
Department: 24,500 units at $14.40 a unit $352,800
Direct labor 74,498
Factory overhead 146,996

During October, 24,100 units of specialty chemicals were completed. Work in process-Filling Department on October 31 was 1,200 units, 60% completed.

Instructions:

1) Prepare a cost of production report for the Filling Department for October
2) Journalize the entries for cost transferred from Reaction to Filling and the cost of goods transferred to finished goods.
3) Discuss the use of the cost of production report.

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Prepare a cost of production report, journalizes the entries for cost transferred etc.

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