Prepare a cost of production report for the Cutting Department of North Georgia Carpet Company for May 2008. Use the average cost method with the following data:
Work in process, May 1, 13,000 units, 75% completed ......... $ 58,000
Materials added during May from Weaving Department, 205,000 units .... 914,780
Direct labor for May ...................... 158,600
Factory overhead for May ..................... 100,500
Goods finished during May (includes goods in process, May 1), 202,000 units . —
Work in process, May 31, 16,000 units, 25% completed .......... —