Douglas Toys is a manufacturer that uses FIFO costing method toaccount for costs of production. It produces a plastic toy in threeseparate departments: Molding, Assembling, and Finishing. Thefollowing information was obtained for the Assembling Departmentfor the month of September.
Work in process on September 1 had120,000 units made up of the following:
Amount Degree ofCompletion Prior departmentcosts transferred in from the Molding Department $ 178,800 100 % Costs added by theAssembling Department Direct materials $ 100,800 100 % Direct labor 53,920 70 % Manufacturing overhead 32,520 50 % $ 187,240 Work in process,September 1 $ 366,040 During September, 520,000 unitswere transferred in from the Molding Department at a cost of$774,800. The Assembling Department added the following costs:
Directmaterials $ 418,320 Direct labor 256,000 Manufacturingoverhead 161,880 Total costsadded $ 836,200 Assembling finished 420,000units and transferred them to the Finishing Department. At September 30, 220,000 unitswere still in work-in-process inventory. The degree of completionof work-in-process inventory at September 30 was as follows:
Direct materials90%
Directlabor80
Manufacturingoverhead30
Required: (a) Prepare a production cost report using FIFO. (Round youranswer to 2 decimal places.)
DOUGLAS TOYS Assembling Department Production Cost ReportâFIFO Flow of Production Units COMPUTE EQUIVALENT UNITS Physical Units Prior Department Costs Materials Labor Manufacturing Overhead Units tobe accounted for: BeginningWIP inventory Unitsstarted this period Totalunits to be accounted for 0 Unitsaccounted for: Unitscompleted and transferred out: Frombeginning inventory Startedand completed currently Units inending WIP inventory Totalunits accounted for 0 0 0 0 0
Costs DETAILS Total Costs Prior Department Costs Materials Labor Manufacturing Overhead Costs tobe accounted for: Costs inbeginning WIP inventory Currentperiod costs Totalcosts to be accounted $0 $0 $0 $0 $0 Cost perequivalent unit: Priordepartment costs Materials Labor Manufacturing overhead
DETAILS Total Costs Prior Department Costs Materials Labor Manufacturing Overhead Costsaccounted for: Costsassigned to units transferred out: Costsfrom beginning WIP inventory Currentcosts added to complete beginning WIP inventory: Priordepartment costs Materials Labor Manufacturing overhead Totalcosts from beginning inventory $0 Currentcosts of units started and completed: Priordepartment costs Materials Labor Manufacturing overhead Totalcosts of units started and completed $0 Totalcosts of units transferred out $0 Costsassigned to ending WIP inventory: Priordepartment costs Materials Labor Manufacturing overhead Totalending WIP inventory $0 Total costs accounted for $0 $0 $0 $0 $0
Douglas Toys is a manufacturer that uses FIFO costing method toaccount for costs of production. It produces a plastic toy in threeseparate departments: Molding, Assembling, and Finishing. Thefollowing information was obtained for the Assembling Departmentfor the month of September. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Work in process on September 1 had120,000 units made up of the following:
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