The Cutting Department of Karachi Carpet Company provides the following data for January 2016. Assume that all materials are added at the beginning of the process. Work in process, January 1, 1,400 units, 75% completed $ 22,960*
Direct materials (1,400 X $12.65) $17,710
Conversion (1,400 X 75% X $5.00) 5,250 $22,960 Materials added during January from Weaving Department, 58,000 units $742,400Direct labor for January 134,550Factory overhead for January 151,611Goods finished during January (includes goods in process, January 1), 56,200 units
Work in process, January 31, 3,200 units, 30% completed Required:a. Prepare a cost of production report for the Cutting Department.