I am stuck with calculating the rst of the problem Cost of Production ReportBavarian Chocolate Company processes chocolate into candy bars. The process begins by placing direct materials (raw chocolate, milk, and sugar) into the Blending Department. All materials are placed into production at the beginning of the blending process. After blending, the milk chocolate is then transferred to the Molding Department, where the milk chocolate is formed into candy bars. The following is a partial work in process account of the Blending Department at October 31:ACCOUNT Work in Process—Blending DepartmentACCOUNT NO.DateItemDebitCreditBalanceDebitCreditOct.1Bal., 2,300 units, 3/5 completed46,36831Direct materials, 26,000 units429,000475,36831Direct labor100,560575,92831Factory overhead48,480624,40831Goods transferred, 25,700 units? 31Bal., ? units, 1/5 completed?Required:1. Prepare a cost of production report, and identify the missing amounts for Work in Process—Blending Department. If an amount is zero enter "0". If required, round your cost per equivalent unit answers to the nearest cent.Bavarian Chocolate CompanyCost of Production Report-Blending DepartmentFor the Month Ended October 31Unit Information Units charged to production: Inventory in process, October 1 Received from materials storeroom Total units accounted for by the Blending Department Units to be assigned costs: Equivalent Units Whole UnitsDirect MaterialsConversionInventory in process, October 1 Started and completed in October Transferred to Molding Department in October Inventory in process, October 31 Total units to be assigned costs Cost Information Cost per equivalent unit: Direct MaterialsConversionTotal costs for October in Blending Department$$Total equivalent units Cost per equivalent unit$$Costs assigned to production: Direct MaterialsConversionTotalInventory in process, October 1 $Costs incurred in October Total costs accounted for by the Blending Department $Costs allocated to completed and partially completed units: Inventory in process, October 1 balance $To complete inventory in process, October 1 $ Cost of completed October 1 work in process $Started and completed in October$ Transferred to Molding Department in October $Inventory in process, October 31 Total costs assigned by the Blending Department $ Feedback 1. Calculate equivalent units for materials and conversion costs. Calculate the cost per equivalent unit for materials and conversion costs. Calculate the costs assigned to the beginning inventory, the units started and completed, and the ending inventory.2. Assuming that the October 1 work in process inventory includes direct materials of $38,295, determine the increase or decrease in the cost per equivalent unit for direct materials and conversion between September and October. If required, round your answers to two decimal places.Increase or DecreaseAmountChange in direct materials cost per equivalent unitDecrease $Change in conversion cost per equivalent unitIncrease $ Feedback 2. Compare the costs per equivalent unit for September and October. The costs per equivalent unit for materials and conversion for September are in the October 1 work in process inventory. The materials amount is given.
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
I am stuck with calculating the rst of the problem
Cost of Production Report
Bavarian Chocolate Company processes chocolate into candy bars. The process begins by placing direct materials (raw chocolate, milk, and sugar) into the Blending Department. All materials are placed into production at the beginning of the blending process. After blending, the milk chocolate is then transferred to the Molding Department, where the milk chocolate is formed into candy bars. The following is a partial work in process account of the Blending Department at October 31:
ACCOUNT Work in Process—Blending Department
ACCOUNT NO.
Date
Item
Debit
Credit
Balance
Debit
Credit
Oct.
1
Bal., 2,300 units, 3/5 completed
46,368
31
Direct materials, 26,000 units
429,000
475,368
31
Direct labor
100,560
575,928
31
Factory overhead
48,480
624,408
31
Goods transferred, 25,700 units
?
31
Bal., ? units, 1/5 completed
?
Required:
1. Prepare a cost of production report, and identify the missing amounts for Work in Process—Blending Department. If an amount is zero enter "0". If required, round your cost per equivalent unit answers to the nearest cent.
Bavarian Chocolate Company
Cost of Production Report-Blending Department
For the Month Ended October 31
Unit Information
Units charged to production:
Inventory in process, October 1
Received from materials storeroom
Total units accounted for by the Blending Department
Units to be assigned costs:
Equivalent Units
Whole Units
Direct Materials
Conversion
Inventory in process, October 1
Started and completed in October
Transferred to Molding Department in October
Inventory in process, October 31
Total units to be assigned costs
Cost Information
Cost per equivalent unit:
Direct Materials
Conversion
Total costs for October in Blending Department
$
$
Total equivalent units
Cost per equivalent unit
$
$
Costs assigned to production:
Direct Materials
Conversion
Total
Inventory in process, October 1
$
Costs incurred in October
Total costs accounted for by the Blending Department
$
Costs allocated to completed and partially completed units:
Inventory in process, October 1 balance
$
To complete inventory in process, October 1
$
Cost of completed October 1 work in process
$
Started and completed in October
$
Transferred to Molding Department in October
$
Inventory in process, October 31
Total costs assigned by the Blending Department
$
Feedback
1. Calculate equivalent units for materials and conversion costs. Calculate the cost per equivalent unit for materials and conversion costs. Calculate the costs assigned to the beginning inventory, the units started and completed, and the ending inventory.
2. Assuming that the October 1 work in process inventory includes direct materials of $38,295, determine the increase or decrease in the cost per equivalent unit for direct materials and conversion between September and October. If required, round your answers to two decimal places.
Increase or Decrease
Amount
Change in direct materials cost per equivalent unit
Decrease
$
Change in conversion cost per equivalent unit
Increase
$
Feedback
2. Compare the costs per equivalent unit for September and October. The costs per equivalent unit for materials and conversion for September are in the October 1 work in process inventory. The materials amount is given.
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