In a single-process production system, Phunky Phingers produces wool gloves. For November 2010, the company's accounting records
Question:
In a single-process production system, Phunky Phingers produces wool gloves. For November 2010, the company's accounting records reflected the following:
Beginning WIP Inventory (100% complete as to material;
30% complete as to direct labor; 60% complete as to overhead) .....12,000 units
Units started during the month ................90,000 units
Ending WIP Inventory (100% complete as to material;
40% complete as to direct labor; 80% complete as to overhead) ...20,000 units
a. For November, prepare a cost of production report, assuming that the company uses the weighted average method.
b. For November, prepare a cost of production report, assuming that the company uses the FIFOmethod.
Step by Step Answer:
Cost Accounting Foundations and Evolutions
ISBN: 978-1111626822
8th Edition
Authors: Michael R. Kinney, Cecily A. Raiborn