Don%u2019t Cry Over Spilled Milk a manufacturer of mops uses the weighted average method in its processing costing system. They use a traditional costing system in the allocation of its manufacturing overhead to production. MOH costs are allocated to production on the basis of machine hours logged during the period. Total estimated MOH for the period was $300,000 and total estimated machine hours were 100,000. The following data concern the operation of the company%u2019s first processing department.
Beginning Work In Process: 800 mops; 60% with DM ; 10 % with conversion
- Costs in BWIP: 3712 (1296 is for direct material)
- Units Started in June: 16,000 mops
- Direct Product Costs Added during June: Direct materials 47076, direct labor 216,213
- Ending Work in Process: 300 mops; 60% with direct materials, 70% with conversion
- During June 78753 actual machine hours were logged during production
1. The cost to assemble one map in June was
2. The cost of goods completed and transferred out of the assembly, department during June equals
3. The conversion costs included in work in process assembly at the beginning of July would be