Question

The Welding Department of Majestic Company has the followingproduction and manufacturing cost data for February 2017. Allmaterials are added at the beginning of the process. Majestic usesthe FIFO method to compute equivalent units.

Manufacturing Costs

 

Production Data

Beginning work in process

 

$32,497

 

Beginning work in process

 

15,150

units, 10% complete

Costs transferred in

 

136,350

 

Units transferred out

 

54,540

 

Materials

 

57,570

 

Units transferred in

 

64,640

 

Labor

 

35,451

 

Ending work in process

 

25,250

, 20% complete

Overhead

 

69,084

 

 

 

 

 

               

Prepare a production cost report for the Welding Department for themonth of February. Transferred-in costs are considered materialscosts. (Round unit costs to 2 decimal places, e.g.2.25.)