Problem 16-3A (Part Level Submission) Cutting Department Production Data—July Pl
ID: 2521498 • Letter: P
Question
Problem 16-3A (Part Level Submission)
Cutting Department
Production Data—July
Plant 1
T12-Tables
Plant 2
C10-Chairs
Cost Data—July
(a1)
T12 Tables
C10 Chairs
SHOW SOLUTION
SHOW ANSWER
(a3)
Materials
Conversion Costs
Total Costs
Open Show Work
(a4)
T12 Tables
Costs accounted for:
Transferred out
Work in process
Materials
Conversion costs
Total costs
C10 Chairs
Costs accounted for:
Transferred out
Work in process
Materials
Conversion costs
Total costs
Problem 16-3A (Part Level Submission)
Thakin Industries Inc. manufactures dorm furniture in separate processes. In each process, materials are entered at the beginning, and conversion costs are incurred uniformly. Production and cost data for the first process in making two products in two different manufacturing plants are as follows.Cutting Department
Production Data—July
Plant 1
T12-Tables
Plant 2
C10-Chairs
Cost Data—July
Work in process, July 1 $0 $0 Materials 383,800 290,880 Labor 236,744 111,100 Overhead 105,040 105,848 Total $725,584 $507,828Explanation / Answer
WN.1 A1 Plant 1 Plant 2 Plant 1 Plant 2 T-12 Tables C-10 Chairs Units to be Accounted for T-12 Tables C-10 Chairs WIP Units Opening 0 0 Units Completed & Transferred 17170 15655 (17170*100%) (15655*100%) Units Started into Production 20200 16160 Closing WIP Units-Equivalent Units 1818 404 (3030*60%) (505*80%) Closing WIP Units 3030 505 Total Units to be Accounted for: 18988 16059 Units Completed & Transferred 17170 15655 A3 Plant 1 WN.2 Plant 1 Plant 2 Cost Data T-12 Tables C-10 Chairs Materials Conversion Total Materials 383800 290880 T-12 Tables 383800 341784 725584 Labor 236744 111100 Equiavalent Units 20200 18988 Overhead 105040 105848 Cost per Unit 19.00 18.00 37.00 Total 725584 507828 Plant 2 Plant 1 Plant 2 Equiavalent Units T-12 Tables C-10 Chairs Materials Conversion Total Material 20200 16160 (Introduced at Beginning) C-10 Chairs 290880 216948 507828 Conversion Costs 18988 16059 (Units to be accounted for) Equiavalent Units 16160 16059 Cost per Unit 18.00 13.51 31.51 A4 T-12 Tables Costs to be accounted for: Transferred Out 635290 (37*17170) Work in Progress: Material 57570 (3030*19) Conversion Costs 32724 (1818*18) Total Costs 725584 C-10 Chairs Costs to be accounted for: Transferred Out 493289.05 (31.51*15655) Work in Progress: Material 9090 (505*18) Conversion Costs 5458.04 (404*13.51) Total Costs 507837.09 Actual Cost in C-10 Chairs 507828 Difference due to Rounding off 9.09