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Hamilton Processing Company uses a weighted-average process cost system and manu

ID: 2534616 • Letter: H

Question

Hamilton Processing Company uses a weighted-average process cost system and manufactures a single product—an industrial carpet shampoo and cleaner used by many universities. The manufacturing activity for the month of October has just been completed. A partially completed production cost report for the month of October for the Mixing and Cooking department is as follows.

HAMILTON PROCESSING COMPANY
Mixing and Cooking Department
Production Cost Report
For the Month Ended October 31

Equivalent Units

Quantities

Physical
Units


Materials

Conversion
Costs

22,400

168,000

190,400

134,400

56,000

190,400


Costs


Materials

Conversion
Costs


Total

$268,800

$117,600

$386,400

$33,600

352,800

$386,400

Costs accounted for

   Transferred out

   Work in process, October 31

      Materials

      Conversion costs

   Total costs

Hamilton Processing Company uses a weighted-average process cost system and manufactures a single product—an industrial carpet shampoo and cleaner used by many universities. The manufacturing activity for the month of October has just been completed. A partially completed production cost report for the month of October for the Mixing and Cooking department is as follows.

Explanation / Answer

Costs coversion total Materials costs Unit costs total costs 268,800 117,600 386,400 Equivalent units 168000 156800 Unit costs 1.6 0.75 2.35 costs to be accounted for Total work in process oct 1 33,600 Started intp production 352,800 Total costs 386,400 Cost recociliation Schedule cost accounted for Transferred out (134400*2.35) 315840 Work In process ,October 31 Materials (56000*60%*1.6) 53760 conversion costs (56000*40%*.75) 16800 70560 total costs 386400