Units in Process, beg.

(40% completed) 5,000

Units Started 20,000
Units Completed 18,000
Units in process, end (80% completed) 7,000

Materials in this department are added 100% at the beginning of the process

a. AVERAGE METHOD
Materials Labor & OH
Actual WD EP WD EP
Units Completed 18,000 100% 18,000 100% 18,000
Units IP, end 7,000 100% 7,000 80% 5,600
25,000 25,000 23,600

b. FIFO METHOD
Materials Labor & OH
Actual WD EP WD EP
IP, beg. 5,000 - - 60% 3000
Units Completed 13,000 100% 13,000 100% 13,000
Units IP, end 7,000 100% 7,000 80% 5,600
25,000 20,000 21,600
The following information relates to the operations of LMN Company for the month of August 2019
Units
In process, Aug. 1 (40% complete) 1,000
Received from Department 1 8,000
Completed & Transferred 8,200
In process, Aug. 31 (20% complete) 800

Costs
In Process 8/1 Cost-Aug.
Cost from Preceding Department 13,500.00 81,000.00
Materials 9,000.00 72,000.00
Conversion Cost 5,036.00 83,580.00

Materials in this department are added 100% at the beginning of the process.

AVERAGE METHOD
LMN COMPANY
COST OF PRODUCTION REPORT
for the month ended August 31, 2019
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 1,000
Units received 8,000
9,000
Units completed 8,200 100% 8,200 100% 8,200
Units in process, end 800 100% 800 20% 160
9,000 9,000 8,360

Costs charged to the department

Cost from preceding department
In process, August 1 13,500.00
 Transferred-in during the month 81,000.00
94,500.00 10.50
Cost added in the department
In process, August 1
Materials 9,000.00
Labor & OH 5,036.00
Added during the month
Materials 72,000.00 9.00
Labor & OH 83,580.00 10.60
Total costs added in the department 169,616.00 19.60
Total costs to be accounted for 264,116.00 30.10

Costs accounted for as follows:

Completed & Transferred 246,820.00
In process, August 31
Cost from preceding department 8,400.00
Materials 7,200.00
Overhead 1,696.00 17,296.00
Total costs as accounted for 264,116.00

Journal Entries
1. Work in Process - Department 2 81,000.00
Work in Process - Department 1 81,000.00

2. Work in Process - Department 2 155,580.00

Material 72,000.00
Payroll/ Factory Overhead Applied 83,580.00

3. Finished Goods 246,820.00

Work in Process - Department B 246,820.00
AVERAGE METHOD
NORMAN CORPORATION
COST OF PRODUCTION REPORT

Quantity Schedule Materials Labor Overhead

Actual WD EP WD EP WD EP
Units in process, beg. 1,000
Units received 9,000
10,000
Units completed 8,000 100% 8,000 100% 8,000 100% 8,000
Units in process, end 1,500 100% 1,500 75% 1,125 50% 750
Units lost 500 100% 500 100% 500 100% 500
10,000 10,000 9,625 9,250

Costs charged to the department

Cost from preceding department
In process, August 1 -
Transferred-in during the month -
0.00 0.00
Cost added in the department
In process, August 1
Materials 2,520.00
Labor 1,540.00
Overhead 2,800.00
Added during the month
Materials 72,480.00 7.50
Labor 21,560.00 2.40
Overhead 43,450.00 5.00
Total costs added in the department 137,490.00 14.90
Total costs to be accounted for 144,350.00 14.90
Costs accounted for as follows:
Completed & Transferred 119,200.00
Factory Overhead 7,450.00
In process, August 31
Cost from preceding department 11,250.00
Materials 2,700.00
Overhead 3,750.00 17,700.00
Total costs as accounted for 144,350.00
FIFO METHOD
NORMAN CORPORATION
COST OF PRODUCTION REPORT

Quantity Schedule Materials Labor Overhead

Actual WD EP WD EP WD EP
Units in process, beg. 1,000
Units received 9,000
10,000
IP, beg. 1,000 40% 400 65% 650 75% 750
Units completed 7,000 100% 7,000 100% 7,000 100% 7,000
Units in process, end 1,500 100% 1,500 75% 1,125 50% 750
Units Lost 500 100% 500 100% 500 100% 500
10,000 9,400 9,275 9,000

Costs charged to the department

Cost-in process, beg. 6,860.00
Cost from preceding department
Cost added in the department
Materials 72,480.00 7.71
Labor 21,560.00 2.32
Overhead 43,450.00 4.83
Total costs added in the department 137,490.00 14.86
Total costs to be accounted for 144,350.00 14.86

Costs accounted for as follows:

Completed & Transferred
From IP, beg.
Cost last month 6,860.00
Cost added this month
 Materials 3,084.26
Labor 1,510.94
Overhead 3,620.83 15,076.03
Completed & Transferred 104,040.61 119,116.64
Factory Overhead Control 7,431.47
In process, August 31
Cost from preceding department 0.00
Materials 11,565.96
Labor 2,615.09
Overhead 3,620.83 17,801.89
Total costs as accounted for 144,350.00
1 Materials, Labor and 4 Materials, Labor and
Quantity Schedule Overhead Quantity Schedule Overhead
Actual WD EP Actual WD
Units completed 10,000 100% 10,000 Units completed 20,000 100%
Units in process, end 5,000 50% 2,500 Units in process, end 6,000 50%
15,000 12,500 4,000 75%
30,000
2 Materials, Labor and
Quantity Schedule Overhead 5 Materials, Labor and
Actual WD EP Quantity Schedule Overhead
Units completed 26,000 100% 26,000 Actual WD
Units in process, end 8,000 75% 6,000 Units completed 45,000 100%
34,000 32,000 Units in process, end 2,000 20%
3,000 75%
50,000
3 Materials, Labor and
Quantity Schedule Overhead
Actual WD EP
Units completed 12,000 100% 12,000
Units in process, end 2,000 75% 1,500
14,000 13,500
terials, Labor and
Overhead
EP
20,000
3,000
3,000
26,000

terials, Labor and

Overhead
EP
45,000
400
2,250
47,650
The following information relates to the operations of LMN Company for the month of August 2019
Units
In process, Aug. 1 (40% complete) 1,000
Received from Department 1 8,000
Completed & Transferred 8,200
In process, Aug. 31 (20% complete) 800

Costs
In Process 8/1 Cost-Aug.
Cost from Preceding Department 13,500.00 81,000.00
Materials 9,000.00 72,000.00
Conversion Cost 5,036.00 83,580.00

Materials in this department are added 100% at the beginning of the process.

FIFO METHOD
LMN COMPANY
COST OF PRODUCTION REPORT
for the month ended August 31, 2019
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 1,000
Units received 8,000
9,000
IP, beg. 1,000 - - 60% 600
Units completed 7,200 100% 7,200 100% 7,200
Units in process, end 800 100% 800 20% 160
9,000 8,000 7,960

Costs charged to the department

Cost-in process, beg. 27,536.00
Cost from preceding department 81,000.00 10.125
Cost added in the department
Materials 72,000.00 9.00
Labor & OH 83,580.00 10.50
Total costs added in the department 155,580.00 19.50
Total costs to be accounted for 264,116.00 29.625

Costs accounted for as follows:

Completed & Transferred
From IP, beg.
Cost last month 27,536.00
Cost added this month
Materials 0.00
Labor & OH 6,300.00 33,836.00
Completed & Transferred 213,300.00 247,136.00
In process, August 31
Cost from preceding department 8,100.00
Materials 7,200.00
Overhead 1,680.00 16,980.00
Total costs as accounted for 264,116.00

Journal Entries
1. Work in Process - Department 2
Work in Process - Department 1

2. Work in Process - Department 2

Material
Payroll/ Factory Overhead Applied

3. Finished Goods
Work in Process - Department B
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are not detected until units are completed and inspected.
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 50%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

FIFO METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
MACHINING DEPARTMENT

Quantity Schedule Materials Labor & OH

Actual WD EP WD EP
Units Started 80,000
80,000
IP, beg. - - - - -
Units completed 60,000 100% 60,000 100% 60,000
Units in process, end 20,000 100% 20,000 25% 5,000
80,000 80,000 65,000

Costs charged to the department

Cost-in process, beg. -
Cost added in the department
Materials 320,000.00 4.00
Labor & OH 130,000.00 2.00
Total costs added in the department 450,000.00 6.00
Total costs to be accounted for 450,000.00 6.00

Costs accounted for as follows:

Completed & Transferred
From IP, beg. -
Started & Completed 360,000.00 360,000.00

In process, April 30
Materials 80,000.00
Overhead 10,000.00 90,000.00
Total costs as accounted for 450,000.00
anufacturing process -
l spoilage occurs in
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are not detected until units are completed and inspected.
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 40%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

FIFO METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
FINISHING DEPARTMENT
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 20,000
Units received 60,000
80,000
IP, beg. 20,000 - - 60% 12,000
Units completed 40,000 100% 40,000 100% 40,000
Units in process, end 18,000 100% 18,000 70% 12,600
Units Lost 2,000 100% 2,000 100% 2,000
80,000 60,000 66,600

Costs charged to the department

Cost-in process, beg. 173,500.00
Cost from preceding department 360,000.00 6.00
Cost added in the department
Materials 90,000.00 1.50
Labor & OH 193,800.00 2.91
Total costs added in the department 283,800.00 4.41
Total costs to be accounted for 817,300.00 10.41

Costs accounted for as follows:

Completed & Transferred
From IP, beg.
Cost last month 173,500.00
Cost added this month
Materials -
Labor & OH 34,918.92 208,418.92
Received and Completed 437,216.22 645,635.14
In process, August 31
Cost from preceding department 108,000.00
Materials 27,000.00
Overhead 36,664.86 171,664.86
Total costs as accounted for 817,300.00

Journal Entries
1. Work in Process - Machining
Work in Process - Finishing
Materials

2. Work in Process - Machining

Work in Process - Finishing
Payroll/ Factory Overhead Applied

2. Work in Process - Finishing

Work in Process - Machining

3. Finished Goods
Work in Process - Finishing
ufacturing process -
poilage occurs in
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are not detected until units are completed and inspected.
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 50%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

AVERAGE METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
MACHINING DEPARTMENT
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. -
Units started 80,000
80,000
Units completed 60,000 100% 60,000 100% 60,000
Units in process, end 20,000 100% 20,000 25% 5,000
80,000 80,000 65,000

Costs charged to the department

Cost added in the department
Materials 320,000.00 4.00
Labor & OH 130,000.00 2.00
Total costs added in the department 450,000.00 6.00
Total costs to be accounted for 450,000.00 6.00

Costs accounted for as follows:

Completed & Transferred 360,000.00
In process, April 30
Materials 80,000.00
Overhead 10,000.00 90,000.00
Total costs as accounted for 450,000.00
turing process -
age occurs in
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are not detected until units are completed and inspected.
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 40%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

AVERAGE METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
FINISHING DEPARTMENT
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 20,000
Units started 60,000
80,000
Units completed 60,000 100% 60,000 100% 60,000
Units in process, end 18,000 100% 18,000 70% 12,600
Units lost 2,000 100% 2,000 100% 2,000
80,000 80,000 74,600

Costs charged to the department

Cost from preceding department
In process, April 1 118,000.00
Transferred-in during the month 360,000.00
478,000.00 5.975
Cost added in the department
In process, April 1
Materials 28,000.00
Labor & OH 27,500.00
Added during the month
Materials 90,000.00 1.475
Labor & OH 193,800.00 2.9665
Total costs added in the department 339,300.00 4.4415
Total costs to be accounted for 817,300.00 10.4165

Costs accounted for as follows:

Completed & Transferred 645,822.25
In process, April 30
Cost from preceding department 107,550.00
Materials 26,550.00
Overhead 37,377.75 171,477.75
Total costs as accounted for 817,300.00

Journal Entries
1. Work in Process - Machining
Work in Process - Finishing
Materials
2. Work in Process - Machining
Work in Process - Finishing
Payroll/ Factory Overhead Applied

2. Work in Process - Finishing

Work in Process - Machining

3. Finished Goods
Work in Process - Finishing
ufacturing process -
poilage occurs in
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are discovered at the beginning of the process
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 50%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

FIFO METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
FINISHING DEPARTMENT
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 20,000
Units received 60,000
80,000
IP, beg. 20,000 - - 50% 10,000
Units completed 40,000 100% 40,000 100% 40,000
Units in process, end 18,000 100% 18,000 70% 12,600
Units Lost 2,000 - - - -
80,000 58,000 62,600

Costs charged to the department

Cost-in process, beg. 173,500.00
Cost from preceding department 360,000.00 6.00
Cost added in the department
Materials 90,000.00 1.55
Labor & OH 193,800.00 3.10
Total costs added in the department 283,800.00 4.65
Adjustments for lost units 0.21
Total costs to be accounted for 817,300.00 10.85

Costs accounted for as follows:

Completed & Transferred
From IP, beg.
Cost last month 173,500.00
Cost added this month
Materials -
Labor & OH 30,958.47 204,458.47
Received and Completed 434,178.69 638,637.16
In process, August 31
Cost from preceding department 111,724.14
Materials 27,931.03
Overhead 39,007.67 178,662.84
Total costs as accounted for 817,300.00
ring process -
e occurs in
The following data were taken from the books of Denver Company which manufactures a single product through two department manufacturing process -
machining and finishing. In the production process, materials are added to the product at the beginning in both departments. Normal spoilage occurs in
the finishing department and the spoiled units are discovered at the beginning of the process
Machining Finishing
Units
Beginning Inventory - 20,000
Stage of completion 50%
Transferred in - 60,000
Started in production 80,000 -
Transferred out 60,000 60,000
Ending inventory 20,000 18,000
Stage of completion 25% 70%
Spoiled (lost) units - 2,000
Beginning inventory costs:
Direct materials - 28,000.00
Conversion Costs - 27,500.00
Prior department costs - 118,000.00
Current Costs:
Direct materials 320,000.00 90,000.00
Conversion Costs 130,000.00 193,800.00

AVERAGE METHOD
DENVER COMPANY
COST OF PRODUCTION REPORT
for the month ended April 30, 2019
FINISHING DEPARTMENT
Quantity Schedule Materials Labor & OH
Actual WD EP WD EP
Units in process, beg. 20,000
Units started 60,000
80,000
Units completed 60,000 100% 60,000 100% 60,000
Units in process, end 18,000 100% 18,000 70% 12,600
Units lost 2,000 - - - -
80,000 78,000 72,600

Costs charged to the department

Cost from preceding department
In process, April 1 118,000.00
Transferred-in during the month 360,000.00
478,000.00 5.975
Cost added in the department
In process, April 1
Materials 28,000.00
Labor & OH 27,500.00
Added during the month
Materials 90,000.00 1.512820513
Labor & OH 193,800.00 3.048209366
Total costs added in the department 339,300.00 4.561029879
Adjustment for lost units 0.1532051282
Total costs to be accounted for 817,300.00 10.68923501

Costs accounted for as follows:

Completed & Transferred 641,354.10
In process, August 31
Cost from preceding department 110,307.69
Materials 27,230.77
Overhead 38,407.44 175,945.90
Total costs as accounted for 817,300.00
ufacturing process -
poilage occurs in