I'm totally confused with this.


Here is the problem.

Elway Footballs, INC. uses a process cost accounting system. The following operating and cost data pertain to the first process department for October:

October 1, Inventory (beg. WIP) 30,000 units, 100% completed for materials and 50% complete for labor and overhead.

October 31, Inventory (End WIP) 20,000 units, 100% complete for materials and 30% complete for labor and overhead.

Units completed during Oct. 50,000 (includes beg WIP units finished)

October production costs: Direct materials $100,000 Labor $28,000 Overhead $28,000.

Cost of beginning work in process: Direct materials $82,000 Labor $16,800 Overhead $16,800.

Materials are added at the beginning of the process. Direct labor and overhead are incurred evenly throughout the process.

REQUIRED: Prepare a Production Cost Report