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 .
Instructions
( a ) Compute the equivalent units of production for ( 1 ) materials and ( 2 ) conversion costs for the month of April .
( b ) Compute the unit costs for the month .
( c ) Determine the costs to be assigned to the units transferred out and in ending work in process .
P3-2A