Business, 12.03.2021 15:20, cierramcdonald
Sanyo Corporation manufactures a popular model of business calculators in a suburb of Seoul, South Korea. The production process goes through two departments: assembly and testing. The following information (in thousands of South Korean currency, the won) pertains to the testing department for the month of July.
Work-in-Process Inventory, July 1 6,000 units
Transferred-in costs 68,400 won (100% complete)
Costs added in July
Direct materials 26,420 won (100% complete)
Conversion 30,080 won (80% complete)
During the month of July, 15,000 units were transferred in from the assembly department at the cost of 143,700 won, and the testing department added costs of 204,140 won, as follows:
Direct materials 93,640 won
Conversion 110,500 won
During the month, 18,000 units were completed and transferred to the warehouse. At July 31, the completion percentage of Work-in-Process was as follows:
Direct materials 90 percent
Conversion 60 percent
Required
Prepare the production report of the testing department for the month of July using the weighted-average process costing.
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