Question;Question 3Tat Hwa manufactures table furniture for wholesalers and produces them in three separate departments: Cutting, Assembling, and Finishing. It uses the weighted average process costing method to account for costs of production. The following information was obtained for the Assembling Department for the month of March.AmountPercentagecomplete$96,000100%$60,000$21,600$16,500$98,100100%60%50%WIP, March 1, (1,500 units)Prior department cost transferredin from the Cutting DepartmentCosts added by the AssemblingDepartmentDirect materialsDirect LabourManufacturing overheadTotal WIP, March 1$194,100During the month of March, the Cutting Department transferred into the Assembling Department 7,500 units at a prior department cost of $480,000. The Assembling Department added the following $450,000 of costs.Direct materialsDirect LabourManufacturing overhead$288,000$108,000$54,000$450,000The Assembling Department completed and transferred out 6,000 units to the Finishing Department. At March 31, 3,000 units were still in WIP. The degrees of completion of WIP at March 31 were as follows:Direct materialsDirect LabourManufacturing overhead90%70%35%Required(a) Prepare a production cost report using weighted-average costing method for the month of March for the Assembling Department. The report should disclose the physical flow of units, equivalent units, unit costs as well as the costs transferred out.
Paper#40113 | Written in 18-Jul-2015Price : $21