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PPP Manufacturing Co. operates two consecutive departments (A and B).

The following
information pertains to the production of the two departments for August 2013.

Department A Department B
Production Data Units WD Units WD
In process 8/1 6,000 30% 7,000 60%
Started 35,000 31,500
Transferred out 31,500 31,000
In Process 8/31 9,500 20% 7,500 40%
Unit Cost Data
In Process 8/1
Transferred in 7.56
Cost in this department
Materials 2.23 1.94
Labor 1.87 6.83
Overhead 3.46 4.25
Transferred in ?
Cost added in August
Materials 2.24 1.97
Labor 1.84 6.81
Overhead 3.48 4.75
Materials are added at Beginning 50% beg., 50% end.
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 25,500.00 100% 25,500.00 100% 25,500.00
In Process Aug 31 9,500.00 100% 9,500.00 20% 1,900.00
Total 41,000.00 35,000.00 31,600.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.24
Labor 61,510.00 3,366.00 58,144.00 31,600.00 1.84
Overhead 116,196.00 6,228.00 109,968.00 31,600.00 3.48
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.56

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,728.00
Overhead 14,616.00 22,344.00 45,318.00
Started 192,780.00
Total 238,098.00
In Process Aug 31
Materials 21,280.00
Labor 3,496.00
Overhead 6,612.00 31,388.00
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Started 31,500.00
Total 38,500.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Started 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Total 38,500.00 31,250.00 29,800.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 291,018.00 52,920.00 238,098.00 31,500.00 7.558667
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00 1.970000
Labor 231,624.00 28,686.00 202,938.00 29,800.00 6.810000
Overhead 159,400.00 17,850.00 141,550.00 29,800.00 4.750000
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.530000
Total Cost to be accounted for 750,394.50 106,246.00 644,148.50 21.088667

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00 145,509.00
Received 506,128.00
Total 651,637.00
In Process Aug 31
Cost from Department A 56,690.00
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00 98,757.50
Total Cost as accounted for 750,394.50
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000 1 6,000 30% 1,800
Started 35,000
Total 41,000

Completed 31,500 100% 31,500 100% 31,500


In Process Aug 31 9,500 100% 9,500 20% 1,900
Total 41,000 41,000 33,400

Cost Charged Department A


IP Aug 1 August Total EUP Unit Cost
Materials 13,380 78,460 91,840 41,000.00 2.24
Labor 3,366 58,090 61,456 33,400.00 1.84
Overhead 6,228 110,004 116,232 33,400.00 3.48
Total Cost to be accounted for 22,974 246,554 269,528 7.56

Cost accounted as follows:


Transferred to Department B 238,140.00
In Process Aug 31
Materials 21,280.00
Labor 3,496.00
Overhead 6,612.00 31,388.00
Total Cost as accounted for 269,528.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000 50% 3,500 60% 4,200
Received 31,500
Total 38,500

Completed 31,000 100% 31,000 100% 31,000


In Process Aug 31 7,500 50% 3,750 40% 3,000
Total 38,500 34,750 34,000
Cost Charged Department A
IP Aug 1 August Total EUP Unit Cost
Cost from Department A 52,920 238,140 291,060.00 38,500.00 7.560000
Cost Added this Department
Materials 6,790 61,668 68,457.50 34,750.00 1.970000
Labor 28,686 202,854 231,540.00 34,000.00 6.810000
Overhead 17,850 143,650 161,500.00 34,000.00 4.750000
Total Cost Added This Dept. 53,326 408,172 461,497.50 13.530000
Total Cost to be accounted for 106,246 646,312 752,557.50 21.090000

Cost accounted as follows:


Transferred to Finished Goods Invty 653,790.00
In Process Aug 31
Cost from Department A 56,700.00
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00 98,767.50
Total Cost as accounted for 752,557.50
PPP Manufacturing Co. operates two consecutive departments (A and B). The following information
pertains to the production of the two departments for August 2013.

Department A Department B
Production Data Units WD Units WD
In process 8/1 6,000 30%/(d)70% 7,000 60%/(d)60%
Started 35,000 33,000
Transferred out 33,000 31,000
Loss Units 1,000 1,500
In Process 8/31 7,000 20%/(d)65% 7,500 40%/(d)80%
Unit Cost Data
In Process 8/1
Transferred in 52,920.00
Cost in this department
Materials 13,380.00 6,790.00
Labor 3,366.00 28,686.00
Overhead 6,228.00 17,850.00
Transferred in ?
Cost added in August
Materials 78,400.00 61,562.50
Labor 58,144.00 202,938.00
Overhead 109,968.00 141,550.00
Materials are added at Beginning 50% beg., 50% end.
b) Assuming loss units are discovered at the end.
c) Assuming loss units are discovered when the products are 80%.
d) Assuming loss units are discovered when the products are 60%.
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 20% 1,400.00
Normal Loss 1,000.00 100% 1,000.00 100% 1,000.00
Total 41,000.00 35,000.00 33,600.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000 1
Labor 61,510.00 3,366.00 58,144.00 33,600.00 1.730476 1
Overhead 116,196.00 6,228.00 109,968.00 33,600.00 3.272857 1
Adj. for loss units 0.219495 1
Total Cost to be accounted f 269,486.00 22,974.00 246,512.00 7.462828

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,268.00 1
Overhead 13,746.00 1
Adj. for loss units 1,316.97 22,330.97 45,304.97 1
Started 201,496.36 1
Total 246,801.33
In Process Aug 31
Materials 15,680.00 1
Labor 2,422.67 1
Overhead 4,582.00 22,684.67 1
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Normal Loss 1,500.00 100% 1,500.00 100% 1,500.00
Total 40,000.00 32,750.00 31,300.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 299,721.33 52,920.00 246,801.33 33,000.00 7.478828 1
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,750.00 1.879771 1
Labor 231,624.00 28,686.00 202,938.00 31,300.00 6.483642 1
Overhead 159,400.00 17,850.00 141,550.00 31,300.00 4.522364 1
Total Cost Added This D 459,376.50 53,326.00 406,050.50 12.885777
Total Cost to be accounted f 759,097.83 106,246.00 652,851.83 20.364606

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,579.20 1
Labor 18,154.20 1
Overhead 12,662.62 37,396.02 143,642.02 1
Received 488,750.54 1
Cost of Normal Loss [1,500 X 20.364606] 30,546.91 1
Total 662,939.46
In Process Aug 31
Cost from Department A 56,091.21 1
Materials 7,049.14 1
Labor 19,450.93 1
Overhead 13,567.09 96,158.37 1
Total Cost as accounted for 759,097.83
26
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 20% 1,400.00
Normal Loss 1,000.00 100% 1,000.00 80% 800.00
Total 41,000.00 35,000.00 33,400.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000 1
Labor 61,510.00 3,366.00 58,144.00 33,400.00 1.740838 1
Overhead 116,196.00 6,228.00 109,968.00 33,400.00 3.292455 1
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.273293

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,311.52
Overhead 13,828.31 21,139.83 44,113.83 1
Started 196,378.92 1
Cost of Normal Loss 6,266.63 1
Total 246,759.39
In Process Aug 31
Materials 15,680.00 1
Labor 2,437.17 1
Overhead 4,609.44 22,726.61 1
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013
Actual Materials Labor and Overhead
Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Normal Loss 1,500.00 50% 750.00 80% 1,200.00
Total 40,000.00 32,000.00 31,000.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 299,679.39 52,920.00 246,759.39 33,000.00 7.477557 1
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828 1
Labor 231,624.00 28,686.00 202,938.00 31,000.00 6.546387 1
Overhead 159,400.00 17,850.00 141,550.00 31,000.00 4.566129 1
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.036344
Total Cost to be accounted for 759,055.89 106,246.00 652,809.89 20.513902

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 18,329.88
Overhead 12,785.16 37,848.44 144,094.44 1
Received 492,333.64 1
Cost of Normal Loss 25,994.23 1
Total 662,422.31
In Process Aug 31
Cost from Department A 56,081.68 1
Materials 7,214.36 1
Labor 19,639.16 1
Overhead 13,698.39 96,633.58 1
Total Cost as accounted for 759,055.89
Inspection at 80% completion
Materials added at the beginning
22
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 70% 4,200.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 30% 1,800.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 65% 4,550.00
Normal Loss 1,000.00 100% 1,000.00 60% 600.00
Total 41,000.00 35,000.00 33,950.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 33,950.00 1.712636
Overhead 116,196.00 6,228.00 109,968.00 33,950.00 3.239116

Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.191753

Cost accounted as follows:


Transferred to Department B
In Process Aug 1
Cost Last Month 22,974.00
Cost to complete
Labor 3,082.75
Overhead 5,830.41 8,913.15 31,887.15
Started 198,498.72
Total 230,385.88
In Process Aug 31
Materials 15,680.00
Labor 7,792.49
Overhead 14,737.98
Adj. for Cost of normal loss 889.65 39,100.12
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Normal Loss 1,500.00 50% 750.00 80% 1,200.00
Total 40,000.00 32,000.00 31,000.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 283,305.88 52,920.00 230,385.88 33,000.00 6.981390
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828
Labor 231,624.00 28,686.00 202,938.00 31,000.00 6.546387
Overhead 159,400.00 17,850.00 141,550.00 31,000.00 4.566129
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.036344
Total Cost to be accounted for 742,682.38 106,246.00 636,436.38 20.017734

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 18,329.88
Overhead 12,785.16 37,848.44 144,094.44
Received 480,425.63
Cost of Normal Loss 25,249.98
Total 649,770.05
In Process Aug 31
Cost from Department A 52,360.43
Materials 7,214.36
Labor 19,639.16
Overhead 13,698.39 92,912.33
Total Cost as accounted for 742,682.38
Allocation of Cost of Normal Loss using EUP

Materials Labor and Overhead Total


EUP Cost EUP Cost
Started 27,000.00 1,778.82 27,000.00 2,542.58 4,321.40
IP end 7,000.00 461.18 4,550.00 428.47 889.65
Total 34,000.00 2,240.00 31,550.00 2,971.05 5,211.05
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 70% 4,200.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 30% 1,800.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 65% 4,550.00
Normal Loss 1,000.00 100% 1,000.00 60% 600.00
Total 41,000.00 35,000.00 33,950.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 33,950.00 1.712636
Overhead 116,196.00 6,228.00 109,968.00 33,950.00 3.239116
Ajustment for loss units 0.153266
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.345019

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 3,082.75
Overhead 5,830.41 8,913.15 31,887.15
Started 198,315.51
Total 230,202.66
In Process Aug 31
Materials 15,680.00
Labor 7,792.49
Overhead 14,737.98
Adj. for Cost of normal loss 1,072.86 39,283.34
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Normal Loss 1,500.00 50% 750.00 80% 1,200.00
Total 40,000.00 32,000.00 31,000.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 283,122.66 52,920.00 230,202.66 33,000.00 6.975838
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828
Labor 231,624.00 28,686.00 202,938.00 31,000.00 6.546387
Overhead 159,400.00 17,850.00 141,550.00 31,000.00 4.566129
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.036344
Total Cost to be accounted for 742,499.16 106,246.00 636,253.16 20.012183

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 18,329.88
Overhead 12,785.16 37,848.44 144,094.44
Received 480,292.38
Cost of Normal Loss 25,241.65
Total 649,628.47
In Process Aug 31
Cost from Department A 52,318.79
Materials 7,214.36
Labor 19,639.16
Overhead 13,698.39 92,870.69
Total Cost as accounted for 742,499.16
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 6,000.00 100% 6,000.00 40%
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 60%
Started 27,000.00 100% 27,000.00 100%
In Process Aug 31 7,000.00 100% 7,000.00 55%
Normal Loss 1,000.00 100% 1,000.00 50%
Total 41,000.00 35,000.00

Cost Charged Department A


Total IP Aug 1 August EUP
Materials 91,780.00 13,380.00 78,400.00 35,000.00
Labor 61,510.00 3,366.00 58,144.00 34,950.00
Overhead 116,196.00 6,228.00 109,968.00 34,950.00
Adjustment for loss units
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 5,989.08
Overhead 11,327.18
Adjustment for loss units 696.76 18,013.01
Started
Total
In Process Aug 31
Materials 15,680.00
Labor 6,404.99
Overhead 12,113.79
Adj. for Cost of normal loss 812.88
Total Cost as accounted for

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 7,000.00 50% 3,500.00 60%
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40%
Received 24,000.00 100% 24,000.00 100%
In Process Aug 31 7,500.00 50% 3,750.00 50%
Normal Loss 1,500.00 50% 750.00 85%
Total 40,000.00 32,000.00

Cost Charged Department A


Total IP Aug 1 August EUP
Cost from Department A 287,394.34 52,920.00 234,474.34 33,000.00
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00
Labor 231,624.00 28,686.00 202,938.00 31,825.00
Overhead 159,400.00 17,850.00 141,550.00 31,825.00
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50
Adjustment for loss units
Total Cost to be accounted for 746,770.84 106,246.00 640,524.84

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 17,854.72
Overhead 12,453.73
Share in the cost of normal loss/Adjustment for los 5,848.83 42,890.68
Received
Total
In Process Aug 31
Cost from Department A 53,289.62
Materials 7,214.36
Labor 23,912.57
Overhead 16,679.10
Total Cost as accounted for
Computation of adjustment for loss units
Cost of normal loss Dept. A
Cost from Dept. A [1,500 X 7.105283]
Materials [1,000 X 2.24] 2,240.00 [750 X 1.923828]
Labor [500 X 1.663634] 831.82 [1,275 X 6.376685]
Overhead [500 X 3.146438] 1,573.22 [1,275 X 4.447761]
Total 4,645.04
Units passed the QCI this month 40,000.00
Adj. for loss units 0.116126
Labor and Overhead
EUP
2,400.00

3,600.00
27,000.00
3,850.00
500.00
34,950.00 1

Unit Cost
2.240000 1
1.663634 1
3.146438 1
0.116126 1
7.166197

1
1
40,987.01 1
193,487.33 1
234,474.34

1
1
1
35,011.66 1 13
269,486.00
Labor and Overhead
EUP
4,200.00

2,800.00
24,000.00
3,750.00
1,275.00
31,825.00 1

Unit Cost
7.105283 1

1.923828 1
6.376685 1
4.447761 1
12.748274
0.835547 1
20.689105

1
1
1
149,136.68 1
496,538.51 1
645,675.19

1
1
1
101,095.65 1
746,770.84
28
Dept. B
10,657.92
1,442.87
8,130.27
5,670.90
25,901.96
31,000.00
0.835547
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 40% 2,400.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 60% 3,600.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 55% 3,850.00
Normal Loss 1,000.00 100% 1,000.00 50% 500.00
Total 41,000.00 35,000.00 34,950.00
2,240.00 2,405.04
Cost Charged Department A
Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 34,950.00 1.663634
Overhead 116,196.00 6,228.00 109,968.00 34,950.00 3.146438
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.050072

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 5,989.08
Overhead 11,327.18
Adjustment for loss units/Share in cost of Normal l 727.59 18,043.85 41,017.85
Started 193,626.10
Total 234,643.95
In Process Aug 31
Materials 15,680.00
Labor 6,404.99
Overhead 12,113.79
Adj. for Cost of normal loss 643.27 34,842.05
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 50% 3,750.00
Normal Loss 1,500.00 50% 750.00 85% 1,275.00
Total 40,000.00 32,000.00 31,825.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 287,563.95 52,920.00 234,643.95 33,000.00 7.110423
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828
Labor 231,624.00 28,686.00 202,938.00 31,825.00 6.376685
Overhead 159,400.00 17,850.00 141,550.00 31,825.00 4.447761
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 12.748274
Total Cost to be accounted for 746,940.45 106,246.00 640,694.45 19.858697

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 17,854.72
Overhead 12,453.73
Adjustment for loss units 5,850.57 42,892.42 149,138.42
Received 496,667.83
Total 645,806.25
In Process Aug 31
Cost from Department A 53,328.17
Materials 7,214.36
Labor 23,912.57
Overhead 16,679.10 101,134.20
Total Cost as accounted for 746,940.45

Allocation of cost of normal loss units


Department A Materials Labor and Overhead Total
EUP COST EUP COST Adjusment
IP beg 6,000.00 336.00 6,000.00 391.59 727.59
Started 27,000.00 1,512.00 27,000.00 1,762.17 3,274.17
IP end 7,000.00 392.00 3,850.00 251.27 643.27
Total 40,000.00 2,240.00 36,850.00 2,405.04 4,645.04

Department B Cost from Department A Materials Labor and Overhead


EUP COST EUP COST EUP COST
IP beg 7,000.00 2,408.37 7,000.00 325.81 7,000.00 3,116.39
Started 24,000.00 8,257.27 24,000.00 1,117.06 24,000.00 10,684.78
Total 31,000.00 10,665.63 31,000.00 1,442.87 31,000.00 13,801.17
Total
Adjusment
5,850.57
20,059.10
25,909.67
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 40% 2,400.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 60% 3,600.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 55% 3,850.00
Abnormal Loss 1,000.00 100% 1,000.00 50% 500.00
Total 41,000.00 35,000.00 34,950.00
2,240.00 2,405.04
Cost Charged Department A
Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 34,950.00 1.663634
Overhead 116,196.00 6,228.00 109,968.00 34,950.00 3.146438
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.050072

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 5,989.08
Overhead 11,327.18 17,316.26 40,290.26
Started 190,351.93
Total 230,642.19
In Process Aug 31
Materials 15,680.00
Labor 6,404.99
Overhead 12,113.79 34,198.78
Factory Overhead Control/Loss 4,645.04
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013
Actual Materials Labor and Overhead
Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 50% 3,750.00
Abnormal Loss 1,500.00 50% 750.00 85% 1,275.00
Total 40,000.00 32,000.00 31,825.00

Cost Charged Department B


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 283,562.19 52,920.00 230,642.19 33,000.00 6.989157
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828
Labor 231,624.00 28,686.00 202,938.00 31,825.00 6.376685
Overhead 159,400.00 17,850.00 141,550.00 31,825.00 4.447761
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 12.748274
Total Cost to be accounted for 742,938.69 106,246.00 636,692.69 19.737432

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40
Labor 17,854.72
Overhead 12,453.73 37,041.85 143,287.85
Received 473,698.36
Total 616,986.21
In Process Aug 31
Cost from Department A 52,418.68
Materials 7,214.36
Labor 23,912.57
Overhead 16,679.10 100,224.71
Factory Overhead Control 25,727.78
Total Cost as accounted for 742,938.69

Computation of adjustment for loss units


Cost of normal loss Dept. A Dept. B
Cost from Dept. A [1,500 X 7.105283] 10,483.74
Materials [1,000 X 2.24] 2,240.00 [750 X 1.923828] 1,442.87
Labor [500 X 1.663634] 831.82 [1,275 X 6.376685] 8,130.27
Overhead [500 X 3.146438] 1,573.22 [1,275 X 4.447761] 5,670.90
Total 4,645.04 25,727.78
Units passed the QCI this month 40,000.00 31,000.00
Adj. for loss units 0.116126 0.829928
4,645.04
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 40% 2,400.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 60% 3,600.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 55% 3,850.00
Abnormal Loss 1,000.00 100% 1,000.00 50% 500.00
Total 41,000.00 35,000.00 34,950.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000 1
Labor 61,510.00 3,366.00 58,144.00 34,950.00 1.663634 1
Overhead 116,196.00 6,228.00 109,968.00 34,950.00 3.146438 1
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.050072

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 5,989.08 1
Overhead 11,327.18 17,316.26 40,290.26 1
Started 190,351.93 1
Total 230,642.19
In Process Aug 31
Materials 15,680.00 1
Labor 6,404.99 1
Overhead 12,113.79 34,198.78 1
Factory Overhead Control 4,645.04
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013
Actual Materials Labor and Overhead
Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 50% 3,750.00
Abnormal Loss 1,500.00 50% 750.00 85% 1,275.00
Total 40,000.00 32,000.00 31,825.00 1

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 283,562.19 52,920.00 230,642.19 33,000.00 6.989157 1
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 32,000.00 1.923828 1
Labor 231,624.00 28,686.00 202,938.00 31,825.00 6.376685 1
Overhead 159,400.00 17,850.00 141,550.00 31,825.00 4.447761 1
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 12.748274
Total Cost to be accounted for 742,938.69 106,246.00 636,692.69 19.737432

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,733.40 1
Labor 17,854.72 1
Overhead 12,453.73 37,041.85 143,287.85 1
Received 473,698.36 1
Total 616,986.21
In Process Aug 31
Cost from Department A 52,418.68 1
Materials 7,214.36 1
Labor 23,912.57 1
Overhead 16,679.10 100,224.71 1
Factory Overhead Control 25,727.78
Total Cost as accounted for 742,938.69
23
Cost of Abnormal loss Dept. A Dept. B
Cost from Dept. A [1,500 X 7.105283] 10,483.74
Materials [1,000 X 2.24] 2,240.00 [750 X 1.923828] 1,442.87
Labor [500 X 1.663634] 831.82 [1,275 X 6.376685] 8,130.27
Overhead [500 X 3.146438] 1,573.22 [1,275 X 4.447761] 5,670.90
Total 4,645.04 25,727.78
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 20% 1,400.00
Normal Loss 1,000.00 100% 1,000.00 80% 800.00
Abnormal Loss - 100% - 50% -
Total 41,000.00 35,000.00 33,400.00
- -
Cost Charged Department A
Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 33,400.00 1.740838
Overhead 116,196.00 6,228.00 109,968.00 33,400.00 3.292455
0.189898
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.463191

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,311.52
Adjustment for lost units 1,139.39
Overhead 13,828.31 22,279.22 45,253.22
Started 201,506.17
Total 246,759.39
In Process Aug 31
Materials 15,680.00
Labor 2,437.17
Overhead 4,609.44 22,726.61
Factory Overhead Control/Loss -
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Abnormal Loss 1,500.00 0% - 0% -
Total 40,000.00 31,250.00 29,800.00

Cost Charged Department B


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 299,679.39 52,920.00 246,759.39 31,500.00 7.833631
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00 1.970000
Labor 231,624.00 28,686.00 202,938.00 29,800.00 6.810000
Overhead 159,400.00 17,850.00 141,550.00 29,800.00 4.750000
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.530000
0.373030
Total Cost to be accounted for 759,055.89 106,246.00 652,809.89 21.363631

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00 145,509.00
Received 512,727.15
Total 658,236.15
In Process Aug 31
Cost from Department A 58,752.24
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00 100,819.74
Total Cost as accounted for 759,055.89
Computation of adjustment for loss units
Cost of normal loss Dept. A Dept. B
Cost from Dept. A [1,500 X 7.105283] 11,750.45
Materials [1,000 X 2.24] - [750 X 1.923828] -
Labor [500 X 1.663634] - [1,275 X 6.376685] -
Overhead [500 X 3.146438] - [1,275 X 4.447761] -
Total - 11,750.45
Units passed the QCI this month 40,000.00 31,000.00
Adj. for loss units 0.000000 0.379047
-
PPP Manufacturing Co. operates two consecutive departments (A and B). The following information
pertains to the production of the two departments for August 2013.

Department A Department B
Production Data Units WD Units WD
In process 8/1 6,000 40% 7,000 60%
Started 35,000 33,000
Transferred out 33,000 31,000
In Process 8/31 7,000 55% 7,500 50%
Loss Units 1,000 1,500
Normal 800 620
Abnormal 200 880
Cost Data
In Process 8/1
Transferred in 52,920.00
Cost in this department
Materials 13,380.00 6,790.00
Labor 3,366.00 28,686.00
Overhead 6,228.00 17,850.00
Transferred in ?
Cost added in August
Materials 78,400.00 61,562.50
Labor 58,144.00 202,938.00
Overhead 109,968.00 141,550.00
Materials are added at Beginning 50% beg., 50% end.

g) Assuming loss units are discovered at the middle of the process in Dept. A and at 85% stage of
completion for Dept. B. and that loss units are estimated at 2% of the remaining good units for the
current period.

In process 8/1 6,000 7,000


Started/Received and Completed 27,000 24,000
In Process 8/31 7,000
Loss Units
Est. Normal Loss 800 620
QCI
0 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% end
IP BEG 80%
STARTED AND COMPLETED
IP END 40%
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 20% 1,400.00
Normal Loss 1,000.00 0% - 0% -
Total 41,000.00 34,000.00 32,600.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 34,000.00 2.305882
Labor 61,510.00 3,366.00 58,144.00 32,600.00 1.783558
Overhead 116,196.00 6,228.00 109,968.00 32,600.00 3.373252
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.462692

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,490.94
Overhead 14,167.66 21,658.60 44,632.60
Started 201,492.69
Total 246,125.29
In Process Aug 31
Materials 16,141.18
Labor 2,496.98
Overhead 4,722.55 23,360.71
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013
Actual Materials Labor and Overhead
Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Started 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Started 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Normal Loss 1,500.00 0% - 0% -
Total 40,000.00 31,250.00 29,800.00

Cost Charged Department A


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 299,045.29 52,920.00 246,125.29 31,500.00 7.813501
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00 1.970000
Labor 231,624.00 28,686.00 202,938.00 29,800.00 6.810000
Overhead 159,400.00 17,850.00 141,550.00 29,800.00 4.750000
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.530000
Adjustment for loss units 0.372071
Total Cost to be accounted for 758,421.79 106,246.00 652,175.79 21.715573

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00 145,509.00
Received 521,173.75
Total 666,682.75
In Process Aug 31
Cost from Department A 58,601.26
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00
Adjustment for loss units 2,790.54 103,459.30
Total Cost as accounted for 770,142.04
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Chemixal X Chemical Y


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 5,000.00 100% 5,000.00 0%
Started 20,000.00
Total 25,000.00

Completed
In Process Aug 1 5,000.00 0% - 100%
Started 17,300.00 100% 17,300.00 100%
In Process Aug 31 2,000.00 100% 2,000.00 0%
Normal Loss 400.00 100% 400.00 100%
Abnormal Loss 300.00 100% 300.00 100%
Total 25,000.00 20,000.00
6,003.75
Cost Charged Department A
Total IP Aug 1 August EUP
Materials x 500,750.00 100,500.00 400,250.00 20,000.00
Materials y 189,000.00 - 189,000.00 23,000.00
Labor 1,061,850.00 60,000.00 1,001,850.00 22,250.00
Overhead 1,592,775.00 90,000.00 1,502,775.00 22,250.00

Total Cost to be accounted for 3,344,375.00 250,500.00 3,093,875.00

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 250,500.00
Cost Last Month
Cost to complete
Mat Y 41,086.96
Labor 168,851.12
Overhead 379,915.03
Adj 2,531.83 592,384.94
Started
Total
In Process Aug 31
Mat X 40,025.00
Labor 22,513.48
Overhead 50,655.34
Adj 1,012.73
Factory Overhead Control/Loss
Total Cost as accounted for

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 7,000.00 50% 3,500.00 60%
Received 22,300.00
Total 29,300.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40%
Received 24,000.00 100% 24,000.00 100%
In Process Aug 31 7,500.00 50% 3,750.00 40%
Abnormal Loss 1,500.00 0% - 0%
Total 40,000.00 31,250.00

Cost Charged Department B


Total IP Aug 1 August EUP
Cost from Department A 3,340,358.48 52,920.00 3,287,438.48 31,500.00
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00
Labor 231,624.00 28,686.00 202,938.00 29,800.00
Overhead 159,400.00 17,850.00 141,550.00 29,800.00
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50

Total Cost to be accounted for 3,799,734.98 106,246.00 3,693,488.98

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00
Received
Total
In Process Aug 31
Cost from Department A 782,723.45
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00
Total Cost as accounted for

Computation of adjustment for loss units


Cost of normal loss Dept. A
Cost from Dept. A [1,500 X 7.105283]
Materials [1,000 X 2.24] 6,003.75 [750 X 1.923828]
Labor [500 X 1.663634] 13,508.09 [1,275 X 6.376685]
Overhead [500 X 3.146438] 20,262.13 [1,275 X 4.447761]
Total 39,773.97
Units passed the QCI this month 24,300.00
Adj. for loss units 1.636789
Chemical Y labor Overhead
EUP WD EUP WD EUP
- 25% 1,250.00 0.375 1,875.00

5,000.00 75% 3,750.00 1.125 5,625.00


17,300.00 100% 17,300.00 1.5 25,950.00
- 25% 500.00 0.375 750.00
400.00 100% 400.00 1.5 600.00
300.00 100% 300.00 1.5 450.00
23,000.00 22,250.00 33,375.00
33,770.22

Unit Cost
20.012500
8.217391
45.026966
67.540449
0.506366
141.303673

842,884.94
2,444,553.54
3,287,438.48

114,206.55
52,370.26
3,454,015.29

Labor and Overhead


EUP
4,200.00

2,800.00
24,000.00
3,000.00
-
29,800.00

Unit Cost
104.363126

1.970000
6.810000
4.750000
13.530000
4.969673
117.893126

145,509.00
2,829,435.03
2,974,944.03
824,790.95
3,799,734.98

Dept. B
156,544.69
-
-
-
156,544.69
31,000.00
5.049829
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Chemixal X Chemical Y


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 5,000.00 100% 5,000.00 0%
Started 20,000.00
Total 25,000.00

Completed
In Process Aug 1 5,000.00 0% - 100%
Started 17,300.00 100% 17,300.00 100%
In Process Aug 31 2,000.00 100% 2,000.00 0%
Normal Loss 500.00 100% 500.00 100%
Abnormal Loss 200.00 100% 200.00 100%
Total 25,000.00 20,000.00

Cost Charged Department A


Total IP Aug 1 August EUP
Materials x 500,750.00 100,500.00 400,250.00 20,000.00
Materials y 189,000.00 - 189,000.00 23,000.00
Labor 1,061,850.00 60,000.00 1,001,850.00 22,250.00
Overhead 1,592,775.00 90,000.00 1,502,775.00 22,250.00

Total Cost to be accounted for 3,344,375.00 250,500.00 3,093,875.00

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 250,500.00
Cost Last Month
Cost to complete
Mat Y 41,086.96
Labor 168,851.12
Overhead 253,276.69
Adj 15,784.45 478,999.22
Started
Total
In Process Aug 31
Mat X 40,025.00
Labor 22,513.48
Overhead 33,770.22
Factory Overhead Control/Loss
Total Cost as accounted for
PPP Manufacturing Company
Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD
In Process Aug 1 7,000.00 50% 3,500.00 60%
Received 22,300.00
Total 29,300.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40%
Received 24,000.00 100% 24,000.00 100%
In Process Aug 31 7,500.00 50% 3,750.00 40%
Abnormal Loss 1,500.00 0% - 0%
Total 40,000.00 31,250.00

Cost Charged Department B


Total IP Aug 1 August EUP
Cost from Department A 3,272,826.83 52,920.00 3,219,906.83 31,500.00
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00
Labor 231,624.00 28,686.00 202,938.00 29,800.00
Overhead 159,400.00 17,850.00 141,550.00 29,800.00
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50

Total Cost to be accounted for 3,732,203.33 106,246.00 3,625,957.33

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00
Received
Total
In Process Aug 31
Cost from Department A 766,644.48
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00
Total Cost as accounted for

Computation of adjustment for loss units


Cost of normal loss Dept. A
Cost from Dept. A [1,500 X 7.105283]
Materials [1,000 X 2.24] 4,002.50 [750 X 1.923828]
Labor [500 X 1.663634] 9,005.39 [1,275 X 6.376685]
Overhead [500 X 3.146438] 13,508.09 [1,275 X 4.447761]
Total 26,515.98
Units passed the QCI this month 24,300.00
Adj. for loss units 1.091193
Chemical Y labor
EUP WD EUP
- 25% 1,250.00

5,000.00 75% 3,750.00


17,300.00 100% 17,300.00
- 25% 500.00
500.00 100% 500.00
200.00 100% 200.00
23,000.00 22,250.00

Unit Cost
20.012500
8.217391
45.026966
67.540449
3.156890
143.954197

729,499.22
2,490,407.61
3,219,906.83

96,308.71
28,159.46
3,344,375.00
Labor and Overhead
EUP
4,200.00

2,800.00
24,000.00
3,000.00
-
29,800.00

Unit Cost
102.219264

1.970000
6.810000
4.750000
13.530000
4.867584
115.749264

145,509.00
2,777,982.35
2,923,491.35

808,711.98
3,732,203.33

Dept. B
153,328.90
-
-
-
153,328.90
31,000.00
4.946093
PPP Manufacturing Company
Department A
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 6,000.00 100% 6,000.00 30% 1,800.00
Started 35,000.00
Total 41,000.00

Completed
In Process Aug 1 6,000.00 0% - 70% 4,200.00
Started 27,000.00 100% 27,000.00 100% 27,000.00
In Process Aug 31 7,000.00 100% 7,000.00 20% 1,400.00
Normal Loss 1,000.00 100% 1,000.00 80% 800.00
Abnormal Loss - 100% - 50% -
Total 41,000.00 35,000.00 33,400.00
- -
Cost Charged Department A
Total IP Aug 1 August EUP Unit Cost
Materials 91,780.00 13,380.00 78,400.00 35,000.00 2.240000
Labor 61,510.00 3,366.00 58,144.00 33,400.00 1.740838
Overhead 116,196.00 6,228.00 109,968.00 33,400.00 3.292455
0.189898
Total Cost to be accounted for 269,486.00 22,974.00 246,512.00 7.463191

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 22,974.00
Cost Last Month
Cost to complete
Labor 7,311.52
Adjustment for lost units 1,139.39
Overhead 13,828.31 22,279.22 45,253.22
Started 201,506.17
Total 246,759.39
In Process Aug 31
Materials 15,680.00
Labor 2,437.17
Overhead 4,609.44 22,726.61
Factory Overhead Control/Loss -
Total Cost as accounted for 269,486.00

PPP Manufacturing Company


Department B
Cost of Production Report
For the month August 2013

Actual Materials Labor and Overhead


Quantity Schedule Quantity WD EUP WD EUP
In Process Aug 1 7,000.00 50% 3,500.00 60% 4,200.00
Received 33,000.00
Total 40,000.00

Completed
In Process Aug 1 7,000.00 50% 3,500.00 40% 2,800.00
Received 24,000.00 100% 24,000.00 100% 24,000.00
In Process Aug 31 7,500.00 50% 3,750.00 40% 3,000.00
Abnormal Loss 1,500.00 0% - 0% -
Total 40,000.00 31,250.00 29,800.00

Cost Charged Department B


Total IP Aug 1 August EUP Unit Cost
Cost from Department A 299,679.39 52,920.00 246,759.39 31,500.00 7.833631
Cost Added this Department
Materials 68,352.50 6,790.00 61,562.50 31,250.00 1.970000
Labor 231,624.00 28,686.00 202,938.00 29,800.00 6.810000
Overhead 159,400.00 17,850.00 141,550.00 29,800.00 4.750000
Total Cost Added This Dept. 459,376.50 53,326.00 406,050.50 13.530000
0.373030
Total Cost to be accounted for 759,055.89 106,246.00 652,809.89 21.363631

Cost accounted as follows:


Transferred to Department B
In Process Aug 1 106,246.00
Cost Last Month
Cost to complete
Materials 6,895.00
Labor 19,068.00
Overhead 13,300.00 39,263.00 145,509.00
Received 512,727.15
Total 658,236.15
In Process Aug 31
Cost from Department A 58,752.24
Materials 7,387.50
Labor 20,430.00
Overhead 14,250.00 100,819.74
Total Cost as accounted for 759,055.89
Computation of adjustment for loss units
Cost of normal loss Dept. A Dept. B
Cost from Dept. A [1,500 X 7.105283] 11,750.45
Materials [1,000 X 2.24] - [750 X 1.923828] -
Labor [500 X 1.663634] - [1,275 X 6.376685] -
Overhead [500 X 3.146438] - [1,275 X 4.447761] -
Total - 11,750.45
Units passed the QCI this month 40,000.00 31,000.00
Adj. for loss units 0.000000 0.379047
-