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Rosenthal Company 22000

Price: $2.50


Rosenthal Company manufactures bowling balls through two processes: Molding
and Packaging. In the Molding Department, the urethane, rubber, plastics, and other
materials are molded into bowling balls. In the Packaging Department, the balls are
placed in cartons and sent to the finished goods warehouse. All materials are entered at
the beginning of each process. Labor and manufacturing overhead are incurred uniformly
throughout each process. Production and cost data for the Molding Department during
June 2014 are presented below.


Production Data June
Beginning work in process units  0
Units started into production   22,000
Ending work in process units   2,000
Percent complete - ending inventory  40%
 
Cost Data
Materials   198,000
Labor   53,600
Overhead   112,800
 Total   364,400

Instructions
(a) Prepare a schedule showing physical units of production.
(b) Determine the equivalent units of production for materials and conversion costs.
(c) Compute the unit costs of production.
(d) Determine the costs to be assigned to the units transferred out and in process for June.
(e) Prepare a production cost report for the Molding Department for the month of
June.

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