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QUESTION

ABC Manufacturing Co. reported the following production costs for the 12 months January through December.

  1. Products with a cost of $6,875 are transferred from the Mixing department to the Rolling department.
  2. Products with a cost of $8,000 are transferred from the Rolling department to the Packaging department.
  3. Products with a cost of $11,375 are completed and transferred from the Packaging department to the finished goods warehouse.
  4. Products with a cost of $10,375 are sold to customers.

Perform the following:

Y = f

Perform the following steps for each transaction:

Figure 4.2, "Flow of Product Costs in a Process Costing System"

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