Principles of Cost Accounting: P6-6 Logan Chemicals Inc., which uses the process cost system

Principles of Cost Accounting

P6-6 Units gained; cost of production summaries
Logan Chemicals Inc., which uses the process cost system, has two departments: A and B. In both departments, all of the materials are put into production at the beginning of the process. The materials added in Department B increase the number of units being processed by 25%. Labor and factory overhead are incurred uniformly throughout the process in all departments.
A record of the factory operations for May follows:
Cost Summary: Dept. A Dept. B
Materials 25000 7500
Labor 10800 10140
Factory overhead 8100 7215

Production Summary
Started in process 10000
Received from prior department 8500
Added to units in process 1500
Finished and transferred 8500 9500
Units in process, end of month 1500 500
Stage of completion 1/3 1/2

Required:
Prepare a cost of production summary for each department for the month of May.
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