Question

Problem 3-3A (Video) (Part Level Submission) 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 a product are as follows. Cutting Department Production Data-July T12-Tables Work in process units, July 1 0 Units started into production 24,800 Work in process units, July 31 3,720 Work in process percent complete 60 Cost Data-July Work in process, July 1 $0 Materials 471,200 Labor 290,656 Overhead 128,960 $890,816 Total

Answer 1

THAKIN INDUSTRIES INC. Cutting Department-Plant 1 Production Cost Report For The Month Ended July 31, 2020
		Equivalent Units
Quantities	Physical Units	Material	Conversion
Units to be accounted for:
Work in process, July 1	0
Started into production	24,800
Total units	24,800
Units accounted for:
Transferred out	21,080 (24,800-3,720)	21,080	21,080
Work in process, July 31	3,720	3,720	2,232 (3,720*60%)
Total units	24,800	24,800	23,312
Costs		Material	Conversion	Total
Unit cost
Total costs		$471,200	$419,616	$890,816
Equivalent units		24,800	23,312
Unit cost		$19	$18	$37
Cost to accounted for:
Work in process, July 1				$0
Started into production				890,816
Total cost				$890,816
Cost Reconciliation Schedule
Transferred out				$779,960 (21,080*$37)
Work in process, July 31:
Material			$70,680 (3,720*$19)
Conversion costs			40,176 (2,232*$18)	110,856
Total costs				$890,816