XYZ Yogurt Company produces yogurt in two departments-Mixing and Finishing. In Mixing, all ingredients except fruit are added at the start of production. In Finishing, fruit is added and then the mixture is placed into containers. Adding the fruit to the basic yogurt mixture increases the volume transferred in by the number of gallons of fruit added. Any spoilage that occurs is in the Finishing department. Spoilage is detected just before the yogurt is placed into containers or at the 98 percent completion point. All spoilage is normal. The following is information pertains to the Finishing department.

Finishing Department, March 2021

Beginning WIP 5,000 gallons (100% fruit, 0% container, 30% Conversion Cost)

Gallons transferred in 5,500

Gallons of fruit added 1,200

Ending WIP 1,700 gallons (100% fruit, 0% container, 60% Conversion Cost)

Gallons transferred out 9,000

Spoilage 1,000 gallons

Beginning WIP Costs:

Transferred In 9,700

Fruit 10,500

Conversion Cost 15,000

Current Costs:

Transferred In 12,400

Fruit 54,000

Containers 11,000

Conversion Cost 98,000

Make a cost of production report of the Finishing Department for March 2021. The company uses the first-in-first-out method of cost flows. Include a step-by-step solution and explanation with their correct account title. Create the cost of production report in a table format.

Answer rating: 100% (QA)

XYZ Yogurt Company Finishing Department Cost of Production Report March 2021 FIFO Method Step1 Equivalent Units Calculation We need to determine the equivalent units for transferredin costsfruitcontai... View the full answer