Cost of Production Report
Hana Coffee Company roasts and packs coffee beans. The processbegins by placing coffee beans into the Roasting Department. Fromthe Roasting Department, coffee beans are then transferred to thePacking Department. The following is a partial work in processaccount of the Roasting Department at July 31:
| ACCOUNT Work in Process—RoastingDepartment | ACCOUNT NO. |
| Date | Item | Debit | Credit | Balance |
| Debit | Credit |
| July | 1 | Bal., 7,300 units, 3/5 completed | | | 19,126 | | |
| 31 | Direct materials, 328,500 units | 755,550 | | | 774,676 | | |
| 31 | Direct labor | 158,400 | | | 933,076 | | |
| 31 | Factory overhead | 39,636 | | | 972,712 | | |
| 31 | Goods transferred, 329,000 units | | ? | | | |
| 31 | Bal., ? units, 4/5 completed | | | ? | | |
Required:
1. Prepare a cost of production report, andidentify the missing amounts for Work in Process—RoastingDepartment. If an amount is zero, enter "0". When computing costper equivalent units, round to two decimal places.
| HanaCoffee Company |
| Costof Production Report-Roasting Department |
| Forthe Month Ended July 31 |
| UnitInformation |
| Units charged toproduction: |
| Inventory inprocess, July 1 | |
| Received frommaterials storeroom | |
| Total unitsaccounted for by the Roasting Department | |
| Units to be assignedcosts: |
| | EquivalentUnits |
| Whole Units | Direct Materials | Conversion |
| Inventory inprocess, July 1 | | | |
| Started andcompleted in July | | | |
| Transferred toPacking Department in July | | | |
| Inventory inprocess, July 31 | | | |
| Total units tobe assigned costs | | | |
| CostInformation |
| Cost per equivalent unit: |
| Direct Materials | Conversion |
| Total costs forJuly in Roasting Department | $ | $ |
| Totalequivalent units | | |
| Cost perequivalent unit | $ | $ |
| Costs assigned toproduction: |
| Direct Materials | Conversion | Total |
| Inventory inprocess, July 1 | | | $ |
| Costs incurredin July | | | |
| Total costsaccounted for by the Roasting Department | | | $ |
| Costs allocatedto completed and partially completed units: | | | |
| Inventory inprocess, July 1 balance | | | $ |
| To completeinventory in process, July 1 | $ | $ | |
| Cost ofcompleted July 1 work in process | | | $ |
| Started andcompleted in July | | | |
| Transferred toMolding Department in July | | | $ |
| Inventory inprocess, July 31 | | | |
| Total costsassigned by the Roasting Department | | | $ |
Feedback
1. Calculate equivalent units for materials and conversioncosts. Calculate the cost per equivalent unit for materials andconversion costs. Calculate the costs assigned to the beginninginventory, the units started and completed, and the endinginventory.
2. Assuming that the July 1 work in processinventory includes $16,060 of direct materials, determine theincrease or decrease in the cost per equivalent unit for directmaterials and conversion between February and July. If required,round your answers to the nearest cent.
| Increase or Decrease | Amount |
| Change in direct materials cost per equivalent unit | Increase | $ |
| Change in conversion cost per equivalent unit | Decrease | $ |
