Akron Manufacturing Co manufactures a cement sealing compound called Seal Rite The
Akron Manufacturing Co. manufactures a cement-sealing compound called Seal-Rite. The process requires that the product pass through three departments. In Dept. 1, all materials are put into production at the beginning of the process; in Dept. 2, materials are put into production evenly throughout the process; and in Dept. 3, all materials are put into production at the end of the process. In each department, it is assumed that the labor and factory overhead are applied evenly throughout the process. At the end of January, the production reports for the month show the following:
The cost summary for January shows the following:
1. Prepare a cost of production summary for each department for January, using the weighted average cost method.
2. Prepare the journal entries to record the January transactions.
3. Prepare a statement of cost of goods manufactured for the month ended January 31.
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