Thakin Industries Inc. manufactures dorm furniture in separate processes. In each process, materials are entered at the beginning, and conversion costs are incurred uniformly. Production and cost data for the first process in making two products in two different manufacturing plants are as follows.

Instructions
(a) For each plant:
(1) Compute the physical units of production.
(2) Compute equivalent units of production for materials and for conversion costs.
(3) Determine the unit costs of production.
(4) Show the assignment of costs to units transferred out and in process.
(b) Prepare the production cost report for Plant 1 for July2017.

Transcribed Image Text:

Cutting Department Plant 1 Plant 2 Production Data-July Work in process units Units started into production Work in process units, July 31 Wo T12-TablesC10-Chairs , July 1 20,000 3,000 60 18,000 500 80 rk in process percent complete Cost Data -Jul Work in process, July 1 Materials Labor Overhead $ -0 $ -0 380,000 234,400 104,000 $718,400 288,000 110,000 104,800 $502,800 Total