Question

Production Report, Weighted Average

Mino Inc. manufactures chocolate syrup in three departments: Cooking, Mixing, and Bottling. Mino uses the weighted average method. The following are cost and production data for the cooking department for April (Note: Assume that units are measured in gallons.):

Production:
Units in process, April 1, 60% complete	24,500
Units completed and transferred out	40,000
Units in process, April 30, 20% complete	6,000
Costs:
WIP, April 1	$ 90,600
Costs added during April	255,480

Required:

Prepare a production report for the cooking department. Round cost per equivalent unit value to the nearest cent and use rounded value in intermediate calculations.

Mino Inc.
Cooking Department Production Report
For the Month of April (Weighted Average Method)
Unit Information
Physical flow:
Units to account for:			Units
Units in beginning work in process
Units started
Total units to account for

Answer 1

Mino Inc.
Production Cost report - Cooking Department
Computation of Equivalent unit of Production
Particulars	Physical Units	Equivalent units
Units to account for:
Beginning WIP	24500
Started into Production	21500
Total units to account for	46000
Units accounted for:
Unit completed & Transferred out	40000	40000
Units in ending inventory (20%)	6000	1200
Equivalent units of production	46000	41200

Particulars	Costs
Opening WIP	$90,600
Cost Added during Period	$255,480
Total cost to be accounted for	$346,080
Equivalent units of production	41200
Cost per Equivalent unit	$8.40
Costs accounted for as follows:
Cost of unit transferred out	$336,000
Ending Work In Process	$10,080
Total costs accounted for	$346,080