The Cutting Department of Thakur Manufacturing has the following production and cost data for July.

Materials are entered at the beginning of the process. Conversion costs are incurred uniformly during the process.

Instructions
(a) Determine the equivalent units of production for
(1) Materials
(2) Conversion costs.
(b) Compute unit costs and prepare a cost reconciliationschedule.

Transcribed Image Text:

Production Costs Beginning work in process -0- Materials Labor Manufacturing overhead 18,900 1. Transferred out 9,000 units. 2. Started 3,000 units that are 60% 45,000 16,200 complete as to conversion costs and 100% complete as to materials at July 31.