Would like help with this homework Process Costing. Also complete the attached chart – one for each department for each month. Please show working so I can see how answers were calculated.
I will need this done by tomorrow night (Thursday).
PROCESS COSTING PROBLEM
Spectre Chemicals produces Zaloff in;r two department process. lnformation on the two
departments for March and April, 20lL are as follows:
March 2011:
Department 1: The company had be,;;inning inventory of 6,000 units,40% completed with a
cost of 545,000. During the month, the department transferred in 22,OOO units of the direct
materials with a cost of 510 per unit. Ending inventory was 7,000 units, 30% completed.
Direct labor is 5310,500 and factory rrverhead is S103,500.
Department 2: The company had betilinning inventory of 5,000 units, 70% completed with a
cost of 580,000. During the month, c irect labor was $175,000 and factory overhead was
587,500. Ending inventory was 10,0C,3 units, 50% completed.
April 2011:
Department L: During the month, tlre department transferred in 20,000 units of the direct
materials with a cost of $11 per unit. tlirect labor is 5209,000 and factory overhead is
5104,500. Ending inventory is 10,000 units 50% completed.
Department 2: During the month, de irartment 2 transferred in 17,000 units from
Department 1. All production was corrrpleted in April; therefore, there is no ending
inventory for April. Direct labor is S17.;,000 and factory overhead is 587,500 (Same as March
2011).
Requirrad:
r, Compute the Equivalent Units of Producti,:ln, Material costs, and Conversion costs for each
department for March and April, 201L.
r Complete the attached chart – one for ea<:h department and each month e Prepare a cost of production report for Mirrch and April 20L1.
LAYERS
ACTUAL
UNITS MATERIALS
CONVERSION
COSTS TOTAL COST
BEGINNING
INVENTORY
ENDING
INVENTORY
STARTED &
COMPLETED
PROCESS COSTI NG WORKSHEET
LAYERS
ACTUAL
UNITS % EUP MATERIALS
CONVERSION
COSTS TOTAL COST
BEGINNING
INVENTORY
STARTED &
COMPLETED
ENDING
iNVENTORY
Direct
materials
Direct labor
Factory
overhead
PROCESS COSTI NG WORKSHEET