The Cutting Department of Riehl Manufacturing has the following production and cost data for August.

Materials are entered at the beginning of the process. Conversion costs are incurred uniformly during the process. Riehl Manufacturing uses the FIFO method to compute equivalent units.

Instructions
(a) Determine the equivalent units of production for (1) materials and (2) conversion costs.
(b) Compute unit costs and show the assignment of manufacturing costs to units transferred out and in work inprocess.

Transcribed Image Text:

Production Costs 1. Started and completed 8,000 units.eing work in process 2. Started 1,000 units that are 40% Materials Labor Manufacturing overhead 0- 45,000 14,700 18,900 completed at August 31.