Question

Maria Am Corporation uses a process costing system. The Baking Department is one of the processing departments in its strudel manufacturing facility. In June in the Baking Department, the cost of beginning work in process inventory was $4,840, the cost of ending work in process inventory was $1,130, and the cost added to production was $25,750.
Required: Prepare a cost reconciliation report for the Baking Department for June.

Answer 1

Answer and Explanation:

According to the scenario, computation of the given data are as follows:-  

Cost of completed units and transferred units = $30,590 - $1,130 =$29,460

Cost Reconciliation Report for the Banking Department for June

Particular                                                  Amount($)

Opening cost of work in process inventory 4,840

Added cost of production                               25,750

Total Cost  Accounted                                       30,590

Cost of completed units and transferred units  29,460

Ending  cost of work in process inventory          1,130

Total Cost Accounted                                        30590