Daytona Beverages Inc. uses the FIFO cost method and adds all materials, labor, and factory overhead evenly to production.
A record of the factory operations for October follows:
Production Summary Units
Work in process, beginning of month, one-fourth completed... 5,000
Started in process....................................................................... 13,000
Finished and transferred to stockroom..................................... 11,000
Work in process, end of month, three-fourths completed........ 7,000
Cost Summary
Work in process, beginning of month......................... $10,000
Materials............................................................................... 45,000
Labor.................................................................................... 30,000
Factory overhead.................................................................... 15,000
Required:
Prepare a cost of production summary for the month.