FIFO Method, Single Department Analysis, One Cost Category

Hatch Company produces a product that passes through three processes: Fabrication, Assembly, and Finishing. All manufacturing costs are added uniformly for all processes. The following information was obtained for the Fabrication Department for June:

Work in process, June 1, had 90,000 units (40 percent completed) and the following costs:

Direct materials $72,720

Direct labor 107,000

Overhead 35,000

During the month of June, 180,000 units were completed and transferred to the Assembly Department, and the following costs were added to production:

Direct materials $195,000

Direct labor 144,000

Overhead 165,000

On June 30, there were 45,000 partially completed units in process. These units were 80 percent complete.

Prepare a cost of production report for the Fabrication Department for June using the FIFO method of costing. Round the cost per equivalent unit to the nearest cent.

Hatch Company

Fabrication Department

Production Report for June

Units to account for:	Number of Units
Units, beginning work in process	90,000
Units started	135,000
Total units to account for	225,000

Units accounted for:	Physical Flow	Equivalent Units
Started and completed	90,000	90,000
From beginning work in process	90,000	54,000
Units, ending work in process	45,000	36,000
Total units accounted for	225,000	180,000

Costs to account for:	Manufacturing Costs
Costs, beginning work in process	$214,720
Costs added by department	504,000
Total costs to account for	$718,720
Cost per equivalent unit	$__
Costs accounted for:
	blank
Transferred out:
Units started and completed	$___
Units, beginning work in process:
	214,720
Current costs to finish units	___
Total cost transferred out	$___
Units, ending work in process	___
Total costs accounted for	$___