The owner of Fino Linens Inc., a manufacturer of bed and bath linens, insisted on a formal report that provided all the details of the weighted average method. In the manufacturing process, all materials are added at the beginning. The following data are for the bath linens department for August:

Production:

Units in process, August 1, 60 percent complete ..... 20,000

Units completed and transferred out ........ 60,000

Units in process, August 31, 60 percent complete ... 20,000

Costs:

WIP, August 1 ................ $11,520

Current costs .................. 72,000

Total ..................... $83,520

Required:

Prepare a cost of production report for the bath linens department for August using the weighted average method.