Assignment
Berg Products manufactures one product in two departments on a continuous basis and uses the average method of process cost accounting.
The following information was reported for the month of May.
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Production Costs
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Machining
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Assembly
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Work in process, beginning of month:
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$ -
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$ 27,000
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Cost in Machining
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|
|
|
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Materials
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$ 4,000
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$ 800
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Labor
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3,000
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|
400
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Factory overhead
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2,000
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$ 9,000
|
600
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$ 1,800
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Cost incurred during month:
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|
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Materials
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$ 68,000
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$ 44,000
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|
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Labor
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51,000
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22,000
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|
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Factory overhead
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34,000
|
153,000
|
33,000
|
99,000
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Total
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$ 162,000
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$ 127,800
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Production Costs
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Machining
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Assembly
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|
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(Units)
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(Units)
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In process, beginning of month
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1,000
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1,000
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Finished and transferred during month
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5,000
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4,000
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In process, end of month
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2,000
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2,000
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Stage of completion as to materials, labor, overhead
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One-half
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One-half
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Requirements:
Prepare a cost of production summary for each department for the month.
Attachment:- Module-Problems.xlsx