Cutting Department for the month of January 2018.

MATERIALS 77, 280

LABOR 95, 616
OVERHEAD 156, 632
CUTTING DEPARTMENT
MONTHLY PRODUCTION REPORT
MONTH OF JANUARY 2018

QUANTITY
STARTER IN PROCESS-CURRENT MONTH
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- ENDING
STAGE OF COMPLETION OF ENDING WORK IN PROCESS
MATERIALS
CUTTING DEPARTMENT
LABOR EQUIVALENT PRODUCTION
OVERHEAD COMPUTATIONS
MONTH OF JANUARY 2018

MATERIALS
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (3, 760 X 100%)
EQUIVALENT UNITS FOR MATERIALS
LABOR
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (3, 760 X 40%)
EQUIVALENT UNITS FOR LABOR
OVERHEAD
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (3, 760 X 55%)
EQUIVALENT UNITS FOR OVERHEAD
 CUTT
COST OF
MONT

QUANTITY SCHEDULE
(a) Quantity to be Accou
Started in Pro
Total to be a

(b) Quantity Accounted F

Transferred O
Work in Proc
Total accoun
P 12, 880.00
P 9, 120.00 COST SCHEDULE
P 3, 760.00 © Costs to Be Accounte
Materials
100% Labor
40% Overhead
55% Total costs to be acco

(d) Costs Accounted For:

Transferred O
Work in proc

Total Work in
9, 120 Total costs accounted
3, 760
12, 880

9, 120
1, 504
10, 624
9, 120
2, 068
11, 188
 CUTTING DEPARTMENT
COST OF PRODUCTION REPORT
MONTH OF JANUARY 2018

UNITS
Accounted For:
d in Process 12, 880
to be accounted for 12, 880

unted For:
erred Out to Next Dept. 9, 120
in Process- end 3, 760
accounted for 12, 880

TOTAL COSTS EQUIVALENT UNITS UNIT COSTS

counted For:
ials 77, 280 ÷ 12, 880 ₱ 6.00
95, 616 ÷ 10, 624 ₱ 9.00
ead 156, 632 ÷ 11, 188 ₱ 14.00
be accounted for 329, 528 ₱ 29.00

ed For:
erred Out 264, 480 9, 120 x ₱ 29.00
in process- End
Materials 22, 560 3, 760 x ₱ 6.00
Labor 13, 536 1, 504 x ₱ 9.00
Overhead 28, 952 2, 068 x ₱ 14.00
Work in Process 65, 048
ounted for 329, 528
Cost Added in Current Month
MATERIALS 21, 830
LABOR 82, 954
OVERHEAD 69, 856

ASSEMBLY DEPARTMENT
MONTHLY PRODUCTION REPORT
MONTH OF JANUARY 2018

QUANTITY
TRANSFERRED IN FROM PRIOR DEPARTMENT
TRANSFERRED OUT
WORK IN PROCESS- END
STAGE OF COMPLETION OF ENDING WORK IN PROCESS
TRANSFERRED IN COST
MATERIALS
LABOR
OVERHEAD

ASSEMBLY DEPARTMENT
EQUIVALENT PRODUCTION
COMPUTATIONS
MONTH OF JANUARY 2018

MATERIALS
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (970 X 60%)
EQUIVALENT UNITS FOR MATERIALS
LABOR
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (970 X 60%)
EQUIVALENT UNITS FOR LABOR
OVERHEAD
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (970 X 60%)
EQUIVALENT UNITS FOR OVERHEAD
 C

QUANTITY SCHEDULE
(a) Quantity to be Accounted For:
Transferred In From Prior Dept.
Total to Be Accounted For
(b) Quantity Accounted For:
Transferred Out to Next Dept.
9, 120 Work In Process- end
8, 150 Total Accounted For
970
COST SCHEDULE
100% © Cost to Be Accounted For:
60% Cost Transferred In
60% Costs Incurred in this Department
60% Materials
Labor
Overhead
Total costs in this Departm
Total costs to be accounted for
(d) Cost Accounted For:
Transferred Out
Work in Process-end
8, 150 Costs Transferred In
582 Costs Incurred in this Dept
8, 732 Materials
Labor
8, 150 Overhead
582 Total Work in Proc
8, 732 Total costs accounted for

8, 150
582
8, 732
 ASSEMBLY DEPARTMENT
COST OF PRODUCTION REPORT
MONTH OF JANUARY 2018

UNITS

rom Prior Dept. 9, 120

unted For 9, 120

to Next Dept. 8, 150

970
9, 120

TOTAL COSTS EQUIVALENT UNITS

264, 480 ÷ 9, 120

n this Department
21, 830 ÷ 8, 732
82, 954 ÷ 8, 732
69, 856 ÷ 8, 732
sts in this Department 174, 640
439, 120

399, 350 8, 150 x

ansferred In 28, 130 970 x

curred in this Dept.
Materials 1, 455 582 x
5, 529 582 x
Overhead 4, 656 582 x
Total Work in Process 39, 770
439, 120
UNIT COSTS

₱ 29.00

₱ 2.50
₱ 9.50
₱ 8.00
₱ 20.00
₱ 49.00

₱ 49.00

₱ 29.00

₱ 2.50
₱ 9.50
₱ 8.00
Cost Added in Current Month
MATERIALS 2, 172
LABOR 24, 492
OVERHEAD 14, 596

ASSEMBLY DEPARTMENT
MONTHLY PRODUCTION REPORT
MONTH OF JANUARY 2018

QUANTITY
TRANSFERRED IN FROM PRIOR DEPARTMENT
TRANSFERRED OUT TO FINISHED GOODS
WORK IN PROCESS- END
STAGE OF COMPLETION OF ENDING WORK IN PROCESS
TRANSFERRED OUT
MATERIALS
LABOR
OVERHEAD

PACKAGING DEPARTMENT
EQUIVALENT PRODUCTION
COMPUTATIONS
MONTH OF JANUARY 2018

MATERIALS
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (2, 720 X 0%)
EQUIVALENT UNITS FOR MATERIALS
LABOR
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (2, 720 X 20%)
EQUIVALENT UNITS FOR LABOR
OVERHEAD
TRANSFERRED OUT TO NEXT DEPARTMENT
WORK IN PROCESS- END (2, 720 X 15%)
EQUIVALENT UNITS FOR OVERHEAD
 QUANTITY SCHEDULE
(a) Quantity to be Accounted Fo
Transferred In
Total to Be Accounte
(b) Quantity Accounted For:
Transferred Out to F
Work In Process- end
8, 150 Total Accounted For
5, 430
2, 720 COST SCHEDULE
© Cost to Be Accounted For:
100% Cost Transferred In
0% Costs Incurred in this
20%
15%

Total costs to be accounted f

(d) Cost Accounted For:
Transferred Out to F
Work in Process-end

5, 430
0
5, 430

5, 430
544 Total costs accounted for
5, 974

5, 430
408
5, 838
 PACKAGING DEPARTMENT
COST OF PRODUCTION REPORT
MONTH OF JANUARY 2018

UNITS
y to be Accounted For:
Transferred In 8, 150
Total to Be Accounted For 8, 150
y Accounted For:
Transferred Out to Finished Goods 5, 430
Work In Process- end 2, 720
Total Accounted For 8, 150

TOTAL COSTS EQUIVALENT UNITS

Be Accounted For:
Cost Transferred In 399, 350 ÷ 8, 150
Costs Incurred in this Department
Materials 2, 172 ÷ 5, 430
Labor 24, 492 ÷ 5, 974
Overhead 14, 596 ÷ 5, 838
Total costs in this Department 41, 260
osts to be accounted for 440, 610
counted For:
Transferred Out to Finished Goods 304, 080 5, 430 x
Work in Process-end
Costs Transferred In 133, 280 2, 720 x
Costs Incurred in this Dept.
Materials 0 0 x
Labor 2, 230 544 x
Overhead 1, 020 408 x
Total Work in Process 136, 530
osts accounted for 440, 610
UNIT COSTS

₱ 49.00

₱ 0.40
₱ 4.10
₱ 2.50
₱ 7.00
₱ 56.00

₱ 56.00

₱ 49.00

₱ 0.40
₱ 4.10
₱ 2.50
CUTTING DEPARTMENT

To record cost incurred

Work in Process- Cutting Department 329, 528
Materials 77, 280
Factory Payroll 95, 616
Applied Manufacturing Overhead 156, 632

To record costs of completed units transferred to Assembly Department per Section (d) of the cost of porduction re
Work in Process- Assembly Department 264, 480
Work in Process- Cutting Department 264, 480

ASSEMBLY DEPARTMENT
To record cost added
Work in Process- Assembly Department 174, 640
Materials 21, 830
Factory Payroll 82, 954
Applied Manufacturing Overhead 69, 856

To record costs of units completed transferred to Packaging Department per Section (d) of the cost of production (I
Work in Process- Packaging Department 399, 350
Work in Process- Assembly Department 399, 350

PACKAGING DEPARTMENT
To record cost added
Work in Process- Packaging Department 41, 260
Materials 2, 172
Factory Payroll 24, 492
Applied Manufacturing Overhead 14, 596

To record costs of units completed transferred to Finished Goods Inventory per Section (d) of the cost of production
Finished Goods 304, 080
Work in Process- Packaging Department 304, 080
d) of the cost of porduction report (Illustration 10-3)

(d) of the cost of production (Illustration 10-6)

on (d) of the cost of production (Illustration 10-9)

To record sales during January
Accounts Receivable 424, 000 (5, 300 x 80)
Sales 424, 000

To record cost of units sold

Cost of Goods Sold 296, 800 (5, 300 x 56)
Finished Goods 296. 800
CASE A. No WIP, beginning and ending
The production data of Department 1 of the XYZ Company for the month of January, 1992, follows:
Started in process during the month 50000
Finished and transferred to Dept. 2 50000

SOLUTION
Total units actually completed 50000
Add: E/P of WIP- end, this period 0
Total units actually completed 50000
Less: E/P of WIP- beg, last month 0
Total Equivalent production 50000

CASE B. WIP, beg and without WIP, end

The production data of Department 2 of XYZ Company for the month of January, 1992, follows:
In process, Jan. 1 (1/3% complete) 15000
Started in process during the month 50000
Finished and transferred to Dept. 3 65000

SOLUTION
Total units actually completed 65000
Add: E/P of WIP-end, this period 0
Total units actually completed 65000
Less: E/P of WIP-beg, last period 5000 ( 15, 000 x 1/3%)
Total Equivalent Production in January 60000

CASE C. WIP, beg and end

The production data of Department 3 of XYZ Company for the month of January, 1992, follows:
In process, Jan. 1 (20% complete) 8000
Received from Dept. 2 in January 65000
Finished and transferred to storeroom 63000
In process, Jan. 31 (2/5 complete) 10000

SOLUTION
Total units actually completed 63000
Add: E/P of WIP-end, (2/5 of 10, 000) 4000 (10, 000 x 2/5)
Total units actually completed 67000
Less: E/P of WIP-beg, (20% of 8, 000) 1600 (8, 000 x 20%)
Total Equivalent Production in January 65400

CASE D. WIP, beg and end, composed of differet block units.

The production record of Department X of XYZ Company for the month of February, 1992, follows:
In process, February 1
(2/3% complete) 30000
(3/5 complete) 10000
Received from preceding department 63000
Finished and transferred to stockroom 85000
In process, February 28:
(2/7 complete) 14000
 (80% complete) 4000

SOLUTION
Total units actually completed 85000
Add: E/P of WIP- end
2/7 of 14, 000 4000
80% of 4, 000 3200 7200
Total 92200
Less: E/P of WIP-beg
2/3 of 30, 000 20000
3/5 of 10, 000 6000 26000
Total Equivalent Production in February 66200
992, follows:

992, follows:
CASE A. All materials are added at the satrt of the process, while labor and ovrehead are added u
The production data of Department A of ABC Company for March, 1992 follow:
In process, March 1 (2/3% complete) 6000
Transferred to Department B 30000
In process, March 31 (1/3 complete) 18000

In this department, the materials are added at the beginning of the process, and conversion costs are applied unifo

SOLUTION
Materials Labor-Overhead
Total units actually completed 30000 30000
Add: E/P of WIP-end 18000 6000
Total 48000 36000
Less: E/P of WIP- beg 6000 4000
Total Equivalent Production in March 42000 32000

(Since materials are applied at the start of the process, a 100% equivalent production is recognized)

CASE B. Materials are added at the end of the process, while labor and overhead are applied unif
In Department B of ABC Company, materials are added at the end of the process, while conversion costs are applie
throughout the process. During March of 1992 the production date as prepared by the foreman in Department B sh
In process, March 1 (70% incomplete) 5000
Received from Department A 30000
Transferred to Department C 26000
In process, March 31 (1/3 complete) 9000

SOLUTION
Materials Labor-Overhead
Total units actually completed 26000 26000
Add: E/P of WIP-end 0 3000
Total 26000 29000
Less: E/P of WIP-beg 0 1500
Total Equivalent Production in March 26000 27500

(Since materials are applied at the end of the proess no materials are yet applied to the work in process, end)

CASE C. Materials are added at different stages of production; conversion costs are added uniform
In Department C, 20% of the materials are added when the process is 30% complete; 40% when the process
is 2/5ncomplete, and the balance, when the process is 3/4 complete. Labor and overhead are applied evenly during

During March 1992, the production for Department C, showed the following:
In process, March 1 (40% complete) 8000
Reeived from Department B 26000
In process, March 31 (4/5 complete) 6000
 SOLUTION
Material Labor-Overhead
Total units actually completed 28000 28000
Add: E/P of WIP- end 6000 4800
Total 34000 32800
Less: E/P of WIP- beg 3200 4800
Total Equivalent Production 30800 28000

In process, beg 8000

Add: Received from Dept. B 26000
Total units to be accounted 34000
Less: Work in process, end 6000
Total units actually completed 28000

CASE D. The WIP-beg and end have different stages of completion

Dept. X of ABC Company reports the following production data for the month of March, 1992:
In process, March 1 24000
Stage of Completion
Materials 60% complete
Labor 5/6 incomplete
Overhead 1/3 complete
Received from preceding department 28000
Transferred to stockroom ?
In process, March 31 6000
Stage of Completion
Materials 2/5 complete
Labor 1/2 complete
Overhead 3/4 incomplete

SOLUTION
Materials Labor
Total units actually completed 46000 46000
Add: E/P of WIP- end 2400 3000
Total 48400 49000
Less: E/P of WIP- beg 14400 4000
Total Equivalent Production 34000 45000

In process- beg 24000

Add: Received from preceding dept. 28000
Total units handled 52000
Less: In process, end 6000
Total units actually completed 46000
d ovrehead are added uniformly through out the process.

ersion costs are applied uniformly throughout the process:

Labor-Overhead

is recognized)

erhead are applied uniformly throughout the process)

le conversion costs are applied uniformly
e foreman in Department B showed the following:

Labor-Overhead

he work in process, end)

costs are added uniformly during the process.

40% when the process
head are applied evenly during the process.
bor-Overhead

Overhead
46000
1500
47500
8000
39500