Prepare a cost of production report for the Cutting Department of Chota Carpet Company for October 2010. Use the average cost method with the following data:
Work in process, October 1, 9,000 units, 75% completed...... $ 75,000
Materials added during October from Weaving Department
105,000 units...................... 807,750
Direct labor for October................... 175,200
Factory overhead for October................. 92,100
Goods finished during October (includes goods in process,
October 1), 103,500 units................. —
Work in process, October 31, 10,500 units, 10% completed..... —