Question

Production costs of the Finishing Department in June in Blossom Company are materials $19,200, labor $47,200, and overhead $28,800. Equivalent units of production are materials 32,000 and conversion costs 30,400. Production records indicate that 28,800 units were completed and transferred out, and 3,200 units in ending work in process were 50% complete as to conversion costs and 100% complete as to materials. Prepare the "costs accounted for" section of a cost reconciliation schedule. (Round unit costs to 2 decimal places, e.g. 2.25 and final answers to 0 decimal places, e.g. 125.)

Answer 1

The costs accounted for section of a cost reconciliation schedule includes the total costs accounted for, the total costs of completed and transferred units, the total costs of ending work in process, and the grand total costs accounted for.

Step-by-step explanation:

The "costs accounted for" section of a cost reconciliation schedule includes the following:

1. Total costs accounted for: This includes the total of materials costs, labor costs, and overhead costs. In this case, the total costs accounted for would be $19,200 + $47,200 + $28,800 = $95,200.
2. Total costs of completed and transferred units: This includes the total costs of units that were completed and transferred out of the Finishing Department. In this case, the total costs of completed and transferred units would be $95,200.
3. Total costs of ending work in process: This includes the costs of units that are still in the ending work in process. In this case, the total costs of ending work in process would be materials costs of the 3,200 units (32,000 equivalent units * 10% completion) and conversion costs of the 3,200 units (30,400 equivalent units * 50% completion). The total costs of ending work in process would be $320 + $15,200 = $15,520.
4. Total costs accounted for: This is the sum of the total costs of completed and transferred units and the total costs of ending work in process. In this case, the total costs accounted for would be $95,200 + $15,520 = $110,720.

Answer 2

To prepare the "costs accounted for" section of a cost reconciliation schedule, calculate the total costs, cost per equivalent unit, cost of units completed and transferred out, and cost of ending work in process. Using the given numbers, the costs accounted for would be: Costs incurred: $95,200, Cost of units completed and transferred out: $42,624, and Cost of ending work in process: $4,736.

The "costs accounted for" section of a cost reconciliation schedule can be prepared using the given information. Here's how:

1. Calculate the total costs incurred: materials + labor + overhead = $19,200 + $47,200 + $28,800 = $95,200
2. Calculate the cost per equivalent unit: total costs / equivalent units of production = $95,200 / (32,000 + 30,400) = $1.48
3. Calculate the cost of units completed and transferred out: cost per equivalent unit * units completed and transferred out = $1.48 * 28,800 = $42,624
4. Calculate the cost of ending work in process: cost per equivalent unit * equivalent units of ending work in process = $1.48 * 3,200 = $4,736
5. Prepare the "costs accounted for" section of the cost reconciliation schedule:

Costs Accounted For
Costs incurred
Cost of units completed and transferred out
Cost of ending work in process

Total

$95,200
$42,624
$4,736

Therefore, the "costs accounted for" section of the cost reconciliation schedule would show:
Costs incurred: $95,200
Cost of units completed and transferred out: $42,624
Cost of ending work in process: $4,736