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Production Cost Report

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Please see attached.

a) Plant A:
(1) Transferred out 18,000
WIP 2,000
(2) Materials 20,000
CC 19,400
(3) Materials $42
CC $32
(4) Transferred out $1,332,000
WIP $128,800

WORKSHEET

(a) (1) Physical units

R12
Refrigerators F24
Freezers

Units to be accounted for
Work in process, Jun 1
Started into production
Total units

Units accounted for
Transferred out
Work in process, Jun 30
Total units
     0
xxx
20,000

xxx
 xxx
xxx
     0
xxx
20,000

xxx
   xxx
xxx

(2) Equivalent units

R12 Refrigerators

Materials Conversion
Costs

Units transferred out
Work in process, June 30
(2,000 X 100%)
(2,000 X 70%)
Total equivalent units xxx

 xxx
00,000
20,000 xxx

   xxx
19,400

F24 Freezers

Materials Conversion
Costs

Units transferred out
Work in process, June 30
(3000 X 100%)
(3000 X 50%)
Total equivalent units xxx

   xxx
00,000
20,000 xxx

   xxx
18,500

(3) Unit costs

R12
Refrigerators F24
Freezers

Materials ($840,000 ÷ 20,000)
($700,000 ÷ 20,000)
ConvConversion costs ($620,800 ÷ 19,400)
($555,000 ÷ 18,500)
Total $x

 x
000
$74
$x

 x
$65

(4) Plant A R12 Refrigerators
Costs accounted for
Transferred out (xxx X $74.00) $xxx
Work in process
Materials (xxx X $42.00) $xxx
Conversion costs (xxx X $32.00)   xxx   xxx
Total costs $1,460,800

Plant B F24 Freezers
Costs accounted for
Transferred out (xxx X $65.00) $xxx
Work in process
Materials (xxx X $35.00) $xxx
Conversion costs (1,500 X $30.00)  xxx   xxx
Total costs $1,255,000

(b) STEIN INDUSTRIES INC.
Stamping Department?Plant A
Production Cost Report
For the Month Ended June 30, 2005

Equivalent Units

Quantities Physical
Units
Materials Conversion
Costs

(Step 1) (Step 2)
Units to be accounted for
Work in process, June 1
Started into production
Total units

Units accounted for
Transferred out
     0
xxx
xxx

xxx

xxx

Xxx

Work in process, June 30  xxx  xxx    xxx (2,000 X 70%)
Total units 20.000 20,000 19,400

Costs
Materials Conversion
Costs
Total

Unit costs (Step 3)
Costs in June
Equivalent units
Unit costs (a) ÷ (b)

Costs to be accounted for
Work in process, June 1
Started into production
Total costs
(a)
(b)
$xxx
  xxx
     $42
$xxx
  xxx
     $32
$xxx

     $74

$      0
 xxx
$1,460,800

Cost Reconciliation Schedule (Step 4)

Costs accounted for
Transferred out (xxx X $74)
Work in process, June 30
Materials (xxx X $42)
Conversion costs (xxx X $32)
Total costs

 $xxx
   xxx
$xxx

  xxx
$1,460,800

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a) Plant A:
(1) Transferred out 18,000
WIP 2,000
(2) Materials 20,000
CC 19,400
(3) Materials $42
CC $32
(4) Transferred out $1,332,000
WIP $128,800

WORKSHEET

(a) (1) Physical units

R12
Refrigerators F24
Freezers

Units to be accounted for
Work in process, Jun 1
Started into production
Total units

Units accounted for
Transferred out
Work in process, Jun 30
Total units
     0
20,000
20,000

18,000
 2,000
20,000
     0
20,000
20,000

17,000
   3,000
20,000

Started in production is given. We are also given work in process on June 30. Since units to be accounted for and units accounted for are to be the same, the difference is transferred ...

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