Masipag Company produces a product that undergoes three processes and the completed items at end o

Costs incurred: Process 1 Process 2

Materials 25,000 18,600
Direct Labor 12,200 9,120
Overhead 7,320 6,840
Materials are added at: 100% at the beginning 50% at beginning, 50%
at 60% complete

Started/Transferred In 5,000 units 4,800 units

Completed and transferred out 4,800 units 4,500 units
In Process, end 200 units 40% complete 300 units 20% complete

Required:

A. Compute the following:

1. Equivalent units of materials and conversion for Process 1, 2 and 3 (6 points)

2. Unit costs of materials, labor and overhead for process 1, 2 and 3 (6 points)

3. Cost of completed and transferred out, and in-process inventories for process 1, 2 and 3. (6 points)

4. Unit costs of completed and transferred goods to process 2, 3 and to finished goods. (3 points)

B. Journalize the transactions for process 1, 2 and 3 (6 points)

C. How much is the total manufacturing cost? Finished Goods Inventory? Work-in Process Inventory? (3
es and the completed items at end of process 3 are the items to be sold to customers.. For January 2019, Masipag C

Process 3
13,215.00
8,840.00
6,630.00
50% at beginning, 30%
at 70% complete, and
remaining 20 at 90%
complete.

4,500 units
4,250 units
100 units 80% complete,
150 units 60% complete

3 (6 points)

for process 1, 2 and 3. (6 points)

to finished goods. (3 points)

tory? Work-in Process Inventory? (3 points)

s.. For January 2019, Masipag Company presented the following costs on three processes:
Cost of Production Report

PROCESS 1
Materials Labor & Overhead
Quantity Schedule Actual Work Done EUP Work Done
Units Started 5,000
In Process, beginning 0
Units Transferred In 0
TUTAF 5,000

Units completed 4,800 100% 4,800 100%

Units in Process 200 100% 200 40%
Units In Process
TUAF 5,000 5,000

Cost charged to the Process:

Cost from preceding process
Cost added in this process
Materials 25,000.00
Labor 12,200.00
Overhead 7,320.00
Adjusted for lost units
Total cost to be accounted for 44,520.00

Cost accounted for as follows:

Units completed 4,800
Units In Process, end:
Cost from preceding department
Materials 200
Labor 80
Overhead 80
Subtotal
Total costs as accounted for
 PROCESS 2
Labor & Overhead Materials Labor & Overhead
EUP Actual Work Done EUP Work Done
0
0
4,800
4,800

4,800 4,500 100% 4,500 100%

80 300 50% 150 20%

4,880 4,800 4,650

43,200.00

5.00 18,600.00
2.50 9,120.00
1.50 6,840.00

9.00 77,760.00

43,200.00 9.00 4,500

300
1,000.00 150
200.00 60
120.00 60
1,320.00
44,520.00
 PROCESS 3
Labor & Overhead Materials Labor & Overhead
EUP Actual Work Done EUP Work Done
0
0
4,500
4,500

4,500 4,250 100% 4,250 100%

60 100 80% 80 80%
150 50% 75 60%
4,560 4,500 4,405

9.00 74,250.00

4.00 13,215.00
2.00 8,840.00
1.50 6,630.00

16.50 102,935.00

74,250.00 16.50 4,250.00

2,700.00 250
600.00 155
120.00 170
90.00 170
3,510.00
77,760.00
Labor & Overhead
EUP

4,250
80
90
4,420

16.50

3.00
2.00
1.50

23.00

97,750.00 23.00

4,125.00
465.00
340.00
255.00
5,185.00
102,935.00
 Particulars Debit Credit
WIP - Process 1 25,000
WIP - Process 2 18,600
WIP - Process 3 13,215
Raw Materials 56,815

WIP - Process 1 12,200

WIP - Process 2 9,120
WIP - Process 3 8,840
Accrued Payroll 30,160

WIP - Process 1 7,320

WIP - Process 2 6,840
WIP - Process 3 6,630
Applied Factory Overhead 20,790

WIP - Process 2 43,200

WIP - Process 1 43,200

WIP - Process 3 74,250

WIP - Process 2 74,250

Finished Goods 97,750

WIP - Process 3 97,750
Materials 56,815
Labor 30,160
Overhead 20,790
Total Manufacturing Cost 107,765
WIP - Process 1 1,320
WIP - Process 2 3,510
WIP - Process 3 5,185 10,015
Cost of Goods Manufactured (FG) 97,750