Problem 4-51 Operation Costing [LO 4-7]

Brian Canning Co., which sells canned corn, uses an operation costing system. Cans of corn are classified as either sweet or regular, depending on the type of corn used. Both types of corn go through the separating and cleaning operations, but only regular corn goes through the creaming operation. During January, two batches of corn were canned from start to finish. Batch X consisted of 800 pounds of sweet corn, and Batch Y consisted of 700 pounds of regular corn. The company had no beginning or ending Work-in-Process Inventory. The following cost information is for the month of January:

	Batch			Cost			Batch Size
Raw sweet corn		X		$	5,200			800	lbs
Raw regular corn		Y			2,450	*		700	lbs
Separating department costs					1,500
Cleaning department costs					900
Creaming department costs					210

*Includes $300 for cream.

Required:

1. Compute the unit cost for sweet corn and regular corn.

2. Record appropriate journal entries.

1.) From my previous attempt: which are wrong...

	Unit Cost per Pound
Sweet corn	$9.17 (wrong)
Regular corn	$6.47 (wrong)

2.) Answers from my previous attempt

1a:	WIP: Inventory:Separation department	7,350
	Direct Materials Inventory		7,350
2b.)	WIP inventory: separation department	1,500
	Conversion cost applied		1,500
3c.)	WIP Inventory: Separation department	8,850
	Coversion costs applied		8,850
4D.)	WIP Inventory: Cleaning department	900
	Conversion costs applied		900
5e.)	WIP inventory: Creaming department	4,019(Wrong)
	Finished goods inventory	7,336(wrong)
	WIP inventory: Cleaning department		11,355(wrong)
6F.)	WIP inventory: Creaming department	1,110 (wrong)
	Direcet materials inventory		900 (wrong)
	Conversion costs applied		210 (correct)
7G.)	Finished goods inventory	1,100 (wrong)
	WIP inventory:Creaming department		1,100 (wrong)