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    dkendr's Avatar
    dkendr Posts: 1, Reputation: 1
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    #1

    Jul 24, 2010, 12:51 PM
    Production cost report
    The Sandling department of Han Furniture Company has the following production and manufacturing cost data for April 2005

    Production 12,000 units finished & transferred out - 3000 units started that are 100% complete as to materials & 40% complete as to conversion cost. Manufacturing cost; materials $36,000, labor $30,000, overhead $37,320.

    How od I prepare a production cost report with no beginning work in process
    rehmanvohra's Avatar
    rehmanvohra Posts: 739, Reputation: 27
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    #2

    Jul 24, 2010, 11:08 PM
    First of all, the question is incomplete:
    1. Is the Sanding Department the first department or a subsequent department?
    2. If it is the first department, then how many units were started in the process?
    3. Are there any normal or abnormal losses?
    4. If it is a subsequent department, how many units were received from the preceding department? And what was the cost involved?

    Further, we would like to help you nut then you must first show your own effort. Process costing can become a very complex issue and unless you have acquired the necessary back ground on the topic, it will be very difficult for any one to help you.

    I do not know which text book you are referring to for your studies and believe you me, there are quite a few.

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