Question: Bath Manufacturing Company uses the weighted average method for process costing. Bath produces processed food products that pass through three sequential departments. The costs for
Bath Manufacturing Company uses the weighted average method for process costing. Bath produces processed food products that pass through three sequential departments. The costs for Department 1 for September were as follows:
| Cost of beginning inventory: | |
|---|---|
| Materials | $11,850 |
| Conversion costs | 20,544 |
| Costs added in Department 1 during September: | |
|---|---|
| Direct materials | $340,150 |
| Direct labor | 341,370 |
| Manufacturing overhead | 245,990 |
| Department 2 handled the following units during September: | |
|---|---|
| Units in process, September 1 | 2,000 |
| Units started in Department 1 | 48,000 |
| Units transferred out to Department 2 | 46,000 |
| Units in process, September 30 | 4,000 |
On average, the September 1 units were 30% complete, and the September 30 units were 60% complete. Materials are added at the beginning of the process and conversion costs occur evenly throughout the process in Department 1.
Required Prepare the product cost report for September for Department 1.
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