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(c) What is the unit conversion cost for May?
(d) What is the total cost of units transferred out in May?
(e) What is the cost of the May 31 inventory?
E3-7
The Sanding Department of Quik Furniture Company has the following
production and manufacturing cost data for March 2017, the first month
of operation.
Production: 7,000 units finished and transferred out; 3,000 units started
that arc 100% complete as to materials and 20% complete as to
conversion costs.
Manufacturing costs: Materials $33,000; labor $21,000; and overhead
$36,000.
Instructions
Prepare a production cost report.
E3-8
The Blending Department of Luongo Company has the following cost
and produc-tion data for the month of April.
Costs: Work in process, April 1 Direct materials: 100% complete
$100,000 Conversion costs: 20% complete 70,000 Cost of work in
process, April 1 $170,000 Costs incurred during production in April
Direct materials $ 800,000 Conversion costs 365,000 Costs incurred in
April $1,165,000
Units transferred out totaled 17,000. Ending work in process was 1,000
units that are 100% complete as to materials and 40% complete as to
conversion costs.