Assignment title: Information
NanoTech Pte Ltd produces Product X through two departments: Department A and Department B. All direct materials are introduced at the start of the process. Conversion costs are incurred uniformly throughout the process. The following information pertain to Department A for June 20X9: Work in process, 1st June Units (100% complete, materials; 70% complete, labour and overhead) 10,000 Started during June 160,000 Work in process, 30th June (100% complete, materials; 30% complete, labour and overhead) 18,000 The costs of Department A work in process at 1st June were as follows: Work in process, 1st June Materials $102,000 Direct labour 69,000 Overhead 45,000 Total $216,000 The costs added by Department A during June were as follows: Materials $2,040,000 Direct labour 880,650 Overhead 540,000 Total costs added $3,460,650 Required: (a) Prepare a production report for Department A for June using the weighted average method. The report should disclose the physical flow of units, equivalent units, unit costs as well as the costs transferred out. (b) What are the possible pros and cons of weighted-average versus FIFO processing costing?