1. A toy manufacturer has two departments, forming and finishing. Consider the finishing
department, which processes the formed toys through the addition of hand shaping and metal.
Although various direct materials might be added at various stages of finishing, for simplicity
we will suppose that all additional direct materials are added at the end of the process.
The following is a summary of the April operations in the finishing department:
Units:
Work in process, March 31, 5,000 units, 60% completed for conversion costs
Units transferred in during April, 20,000
Units completed during April, 21,000
Work in process, April 30, 4,000 units, 30% completed for conversion costs
costs:
Work in process, March 31 (transferred in costs, $17,750; conversion costs, $7,250), $25,000
Transferred in costs from forming department during April, $104,000
Direct materials added during April, $23,100
Conversion costs added during April, $38,400
Total costs to account for, $190,500
Using the weighted average method, prepare a cost of production report for the finishing
department for April.