J Booth Company produces a product that passes through an assembly process and a finishing process. All
Question:
J Booth Company produces a product that passes through an assembly process and a finishing process. All manufacturing costs are added uniformly for both processes. The following information was obtained for the assembly department for March:
a. WIP, March 1, had 48,000 units (60 percent completed) and the following costs:
Direct materials...............................$186,256
Direct labour.....................................64,864
Overhead applied...............................34,400
b. During March, 138,400 units were completed and transferred to the finishing department, and the following costs were added to production:
Direct materials..................................$267,880
Direct labour......................................281,280
Overhead applied................................117,144
c. On March 31, there were 21,600 partially completed units in process. These units were 70 percent complete.
Required:
Prepare a production report for the assembly department for March using the FIFO method of costing. (Carry the unit cost computation to four decimal places.)
Step by Step Answer:
Cornerstones of Managerial Accounting
ISBN: 978-0176530884
2nd Canadian edition
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman