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Chapter 10 Process Costing Problem 10 309 Juniper Company manufactures a single product in two departments, Cutting and Finishing. Units of product are started in the Cutting Department and then transferred to the Finishing Department, where they are completed. Units are inspected at the end of the production process in the Finishing Goods Inventory, and spoiled units are transferred to Spoiled Goods Inventory. Spoiled units are inventoried at their salvage value of P15.00 each, and the unrecoverable cost of spoilage is charged to Factory Overhead Control. During July, 5,000 units were transferred from the Cutting Department to the Finishing Department and 3,800 were transferred from the Finishing Department to Finished Goods Inventory. At the end of July, the Finishing Department still had 800 units in process, 40% complete as to materials and 20% complete as to conversion costs. Cost data related to July operations in the Finishing Department are: Cost from preceding department Materials Labor Overhead P 60,000 22,600 17,440 13,080 Required: 1. Cost of production report for the Finishing Department. 2. Prepare the appropriate general journal entry to record the transfer of cost out of the Finishing Department this period. Problem 11 Data presented below were taken from the books of the Diamond Company for the month of September, 2019. Required: Units transferred in Units added to production Units transferred out Units in process, end 55,000 5,000 48,000 12,000 Materials 100% complete, conversion costs 70% complete Costs transferred in P 24,750 Cost added in the department Direct materials 7,200 Conversion cost 53,580 1. Determine the equivalent production for materials and conversion costs 2. Determine the cost of the units transferred out 3. Determine the cost of the units in process, end