okay before we go to process costing take note that this topic will be easier for you if you were able to grasp the basic concepts of costs cost flows costing systems together with job order costing okay so after those discussions you can now proceed to process costing now to compare no process costing first we're going to discuss the similarities between job order and process costing now take note that both no both of these systems will assign labor material and overhead cost to products and they are going to provide a means for us not to compute the unit product cost now take note this is one of the things that you have to you have to focus on know how these systems assign okay these different costs and how do they compute unit product cost also both systems will use manufacturing accounts now the the same manufacturing accounts even for your inventory accounts like um raw materials working process and finished goods okay and you also have your manufacturing overhead and the flow of cost through the manufacturing accounts is basically the same with both systems which means um the accumulation of cost will start from raw materials okay upon purchase and then once the cost of materials use has been assigned to work in process okay you will now add your labor cost and overhead cost once they are completed it will now be transferred and accumulated in finished goods and we will review the cost flows later now before i forget this material is actually a material from from the book of garrison with very minimal editing anyway so these are the similarities you also have the differences for process costing this is used when a single product is produced on a continuing basis so to lead to lulano for a long period of time job order costing is used when many different jobs are worked on each period okay for process costing this accumulates cost by department okay so by department it will be in buy work in process one okay in some books you'll see work in process one and work in process two this means that this is a work in process account maintained in department one and this one is work in process maintained in department two for job order costing systems okay the costs are accumulated by individual jobs okay so ion process costing okay use department production reports now you have your cost of production reports which we will discuss later well for job order costing the counterpart is your job cost sheets okay so if you can understand your job cost sheets okay mandelino lansi guru cost of production report and then you also have your process costing system sorry process costing systems compute unit cost by department dining denis kastnaat in canada job order costing systems compute unit costs by job okay so parang okay and if you want to add more okay for job order costing okay we use this if our product is products are galon you need from one another like for example no tailor made suits okay so you have your customized boots okay they are most of the time called heterogeneous products okay and counterpart number nine homogeneous products process costing when the characteristic characteristics of your product is the same know from product one product two product three young output nothing they are the same most of the time we use process costing and then what is a processing department is a basic concept normally this refers to any location in an organization where your production costs are accumulated this is where your materials labor or overhead are added to the product now you have to take note that the activities performed in a processing department are performed uniformly and because of that your output k must be homogeneous like for example your output is let's say sardines no sardines okay the first kind of sardine has the same characteristics with the second can third can uh okay so now before we for uh before we continue now i'd like to remind you that you can pause the video anytime feel free to take down notes okay or to relieve yourself or feel free to rewind the material if it's needed okay just in case you want to you want to compute something and feel free to pause the video get your calculator okay your pen and your scrap paper okay so ion now let's continue okay in addition to that you also have the concept of sequential versus parallel processing now what are these when we say sequential processing this means that units will flow in a sequence from one department to another okay so from department one department to department three like for example if your product is let's say um the production is done on the on the ship no so after catching the fish you chop off the head okay you clean the uh the fish you remove the intestine okay so that is what you call department one preparation and then department two okay you're going to cook the fish and then department three you're going to um weigh them for packaging in the uh cans okay so let's call that canning and then you have your labeling and packaging so that's what you call sequential now okay just in case no um you're producing different kinds of sardines like like for example at some point okay some of your sardines will be in brine okay and then some of them will be cooked in in tomato paste or tomato sauce and then a part of that no will become anova fried or fried sardines okay or hot and spicy that is now your parallel processing this is used when after a point some units go through a different processing department on different processing departments than others so here's an example no like petroleum refinery okay they separate crude oil into products like gasoline jet fuel and heating oil so like our example if you have your sardines spanish style that's now your parallel pressing and padding my combination no now at first sequential and then parallel processing anyway so now still in the comparison of job order and process costing this is the this is the initial model no for job order and process costing we all know that your manufacturing costs know your direct materials direct labor and manufacturing overhead are all accumulated in your work in process once they are compute completed okay they will go to your finished goods inventory and once they are sold they will be part of your cost of goods sold okay in in job order costing your costs are accumulated by job so you have work in process job number one work in process job number two okay so if you have let's say three jobs okay so you want three orders then you will expect that you will be you will be maintaining three work in processes for or work in process accounts for each job for process costing okay this cost will be accumulated by department okay so if you have three departments you will expect that you will have three work in process okay so very similar jobs processing department these are now your work in process okay now let's continue okay let's talk about the basic journal entries okay and in our example we're going to assume that there are only two departments department a and department b and we will use the accounts no to help us visualize the cost flows and as usual okay the cost flow or the story will start in the acquisition of your raw materials okay and then once they are used they will now go to our work in process as our direct materials now based on this example no if if in this example you will see the simultaneous issue once of direct materials to work in process a and work in process b it's also possible that this direct materials k to department b will only be issued upon the transfer of the output coming from department a to department b which i will explain later now in this case okay we are showing you this type of a cost flow so that you can visualize and you will know what will be the journal entry if your materials are issued to department a or if they are issued to department b or if they are issued simultaneously if they are issued simultaneously you have the following journal entry kpop so the same as job order costing now what if you incurred direct labor so this is now the journal entry again this is under the assumption that they are incurred simultaneously enough for department a and department b okay that's the journal entry and for overhead okay same entry as job order costing you are going to debit manufacturing overhead not for the actual and once they are applied okay that will be the credit side what will be debited it will be your work in process for department a and work in process for department b so assuming they are simultaneously applied you can again record them this way now once the output know of um department a is transferred to department b okay okay this will now be assigned okay that's the term this cost not the cost of this materials or output or products which are not yet finished no but already finished as far as department is concerned kenyatte so you are now going to assign that to department b the journal entry will be debit to work in process department b and credit credit work in process department a okay so yeah now let's go back to the previous slide this is what i'm i was referring to earlier based on our example your direct materials okay directly bore and overhead okay we're simultaneously applied and recorded but sometimes no this will only be recorded okay once the output of a has been transferred to b diva like for example if we are working on a product that has to be um let's talk about furniture so ayan if the furniture is let's say in department a and department a is an uh layout and um processing department a from layouting okay to cutting up to assembly or your department a no and then let's say department b is focused on finishing you cannot you cannot refine or finish a product that is not yet assembled therefore means okay to record this transfer before you record direct materials directly bore and applied overhead alright now let's continue once these products are completed no actually being department p is your last process or last department okay once they are completed they will be transferred to your finished goods okay and the journal entry will be debit to finish goods and credit to working process and then okay once they are sold they will be part of your cost of goods so and to record that don't forget to record the sale assuming it was sold on credit so that will be debit to accounts receivable and credit sales and of course okay you debit your cost of goods sold and credit your finished goods this is under the assumption that we are using the perpetual inventory system and let's talk about eup okay what is eup or equivalent units of production okay subway eup or equivalent units are the product of the number of partially complete completed units and the percentage completion of those units and we need to calculate your eup okay why so that you can compute your product cost or not the product cost cost per unit of output discuss cost of production reports we need to calculate equivalent units because a department usually has some partially completed units in its beginning and ending inventory okay so assuming there are two half products here two half completed products they are equivalent to one completed product so assuming case at the end of the period you started to to let's say and being along let's use the example from garrison no assuming that these are two units but they are not yet full they are just 50 completed so this is your accomplishment for the period if you add them together it's as good as completing one product okay and so 10 000 unis units which are 70 percent complete is as good as completing 7 000 units okay so you like demand your concept now equivalent units of production or eup okay um okay you have your quick check for the current period jones started 15 units and completed 10 000 units leaving 5 000 units in process okay so let's try to understand that now jones is started at 15 but 10 000 of that was completed so at the end of the period 5000 is in your inventory these are your work in process and they are 30 complete okay so if it's a win it's as good as completing okay 30 of 5 000 units so what is 30 of 5000 that is 1 500 don't forget to add what was actually completed which is 15 okay so if you add that you will now have 11 500 units even though you actually computed or completed 10 000 units but the work done during the period is equivalent to completing eleven thousand five hundred okay so are you not doing computation sorry i got carried away so now you have eleven thousand five hundred ion calculating eup okay there are two ways on how you can compute for your eup you have your first in first out and you have your weighted average method we will start now we will start discussing your weighted average method because after that i can show you the shortcut for the first in first out method okay so under weight and average method okay this method makes no distinction between work done in prior or current periods why because this is under the assumption that the costs incurred this period and last period k has no significant difference and then it blends together units and costs from prior and current periods let's have an example later anyway and may the your cost per equivalent why do you have to compute for your eup so that you can compute for the cost per equivalent you need and for weighted average method you have your cost for the period divided by your equivalent units of production for the period okay now take note that most of the time when we talk about cause for the period we are just talking of talking about or referring to your total manufacturing cost for this period okay pero for weighted average para indica malito your cost this period will include the beginning balance not the beginning balance of your work in process the cost and referring to the cost of the beginning balance okay plus the cost this period or your total cost total manufacturing cost for this period let's review your working process okay your t accounts for work in process will have cost from the beginning balance and cost of your ending balance tama and then for the current period okay you are going to include and you might include nathan you have your direct materials directly bore and you have your factory over head ayan most of the time when we talk about cost for the period we are simply referring to these three your total manufacturing cost okay but for weighted average functionality won't cost this period okay you are going to include even the cost of your beginning work in process okay but so let's have a short moment for you to internalize that for weighted average method your cost is period you include the beginning balance of your working process plus your total manufacturing cost and then you divide that by your eup using the weighted average now let's continue okay so you have the following cost directly where direct materials okay and then the patna factory overhead and but sometimes normally langnam young direct labor we already combine that with your factory overhead okay and you will now have your direct materials and then your conversion cost okay so ion why do we do that especially for uneven and even production proxima be nothing and even okay the percentage of completion for each component is not the same when we say even the percentage of completion for each component is the same for example no if there is a direct causality of your direct labor cost with the direct materials then you can use even what does that mean if materials is 50 completed we can assume that direct labor is also 50 completed the same with factory overhead but sometimes okay what is normal is that we have an even an even percentage of completion what does that mean it's possible let's say that your materials is already 100 completed or 80 completed but your labor is only 20 or 50 percent completed okay so that's what you call an even an even application okay now let's continue let's assume that we have the following units k units produced for the month okay we started with 300 units okay for our beginning inventory and then you started man started 6 000 units so this means that the total units that you can finish for the current period is 63 hundred let's try to write that down okay you have a beginning balance of three hundred you started okay you started in process six 000 units at the end of the period you have 900 okay this means that you were able to complete okay how many units 5 000 four hundred units this is what you call completed and transferred this is the ending balance okay you're completed and transferred of course okay since this is process costing no it is safe to assume that this 300 will be completed ahead of your 6000 right so 300 of that will go to five thousand four hundred which means okay out of this six thousand out of these six thousand only five thousand one hundred was completed okay so this 5100 is now what you call started completed and transferred this is your started in process this is your completed and transfer this is your started completed and transferred okay so let's try to analyze this now if 300 was already completed okay so casama and then since you completed five thousand four hundred the difference which is five thousand one hundred will come from the six thousand okay and the difference of these two okay if six thousand five thousand one hundred of that is completed the difference is nine hundred yen young and incomplete alright so you now have five thousand four hundred your unit completed and transferred out okay meaning it's transferred to another department siguro okay and the ending balance is now 900. now uh also from the example okay these 300 units okay you're beginning inventory you know in when it comes to materials okay 40 of the materials is already computed or completed for conversion amount 20 percent of your conversion cost tight costs modeling visualize the 20 of your conversion costs were already incurred to come up with these 300 units okay now there are different ways on how you can compute this percentage of completion okay most of the time while you have your base on input and based on output since this is cost accounting most of the time this is based on input what does that mean okay we base it on the total estimated cost so for example if let's say for this output now for this expected output you're supposed to spend 100 000 in uh in materials and then you already spent no let's say or you already issued sixty thousand out of one hundred thousand then that means materials is already sixty percent completed okay so i union anyway that will be discussed in other topics now for work in process okay materials is 60 completed and your conversion cost is 30 completed now from there you can now compute your your equivalent units of production for weighted average okay you start with the units completed and transferred okay or completed and transferred units long so you have 5400 and then you add no the percentage of completion okay from your ending inventory so if materials is 60 completed so you simply multiply that with 900 units for conversion 30 of that was completed so you multiply that by 900 units feel free to pause the video okay and go back to the previous slide okay so you have your 960 and 30. there you go you multiply that and this is now your eup using weighted average okay so this means that well um if you try to look at your efforts in terms of materials even though you only completed and transferred 5400 units as if you completed or your efforts no your efforts in terms of material is as good as coming up with 5940 units so ganondesa conversion even if you only completed for 5400 it's as good as completing 5670 okay so ion so that's your weighted average eup now samia equivalent units of production is always equal to units completed and transferred plus the equivalent units remaining in work in process okay so if you go back to your t accounts if you go back to your accounts no you see no let go okay so let's continue weighted average so okay you started 5400 but you already have 300 units that should be completed no for this period also which means out of five thousand four hundred if you completed three hundred three hundred of that came from your beginning balance a big saving and five thousand one hundred came from the six thousand units it started during the period and out of 6000 if 5100 was completed okay 900 will be your ending inventory i bought yeah so you have five four plus 540 what is completed at the end of the period in equivalent unisia you now have your total equivalent units of production that's four materials and then the same explanation for conversion cost okay now before we continue okay let's talk about your cost of production report okay basically there are different kinds of formats not found in your in your textbook okay in other books but if you try to look at the components of this course of production report what is common is that it will always have three sections the first section is the computation of eup the second question and the second section okay um we'll we'll show you the cost to be accounted for and then the third section okay you will have the cost as accounted for also known as the reconciliation okay so ion for garrison no since this is his material the first section okay we'll show a quantity schedule showing the flow of units and the computation of eup so you know and then computation of cost per equivalent you need but in this section okay you will also show the total cost to be accounted for i'll explain that later and then third section you know the reconciliation okay comparison of the cost to be accounted for and the cost as accounted for and they should always be equal okay so let's have an example assuming this company uses the weighted average method of process costing to determine unit cost okay in shaping and milling department and you have the following information again feel free to pause the video and take a screenshot you know or take notes know of what is given because our discussion know will be based on the following information but first things first okay you have the beginning which is 200 units you have the ending which is 400 you started 5 000 units and then you completed four thousand eight hundred two hundred four hundred you started five thousand and you completed four thousand eight hundred of course the total should be five thousand two hundred five thousand two hundred now this two hundred will be completed so it will go there okay this means the difference of this now no four thousand eight hundred minus two hundred you will now have four six four thousand six hundred is now you're started during the period it's also completed and transferred okay so out of this five thousand four thousand six hundred was started completed and transferred so it is not transferred the difference of these two which is now 400. now the cost of the beginning working process is this one if you have your calculator computer so this one will be 75 6 plus 5 that's going to be 11 carry 1 so that will now be 15 okay and then oh yeah let's continue okay step one prepare the quantity schedule with the equivalent units okay so you have the beginning you started five thousand a total of five two okay and then let's compute for the eup no okay so you have your completed and transfer take note for weighted average we always start with this four eight and then now you add the percentage of completion of the ending inventory which is four hundred forty percent for materials 25 for conversion and you now have the following cost this is now your equivalent unit of production okay and then step two you calculate the cost per equivalent you need for that period so guyanese inaudible the beginning balance the cost from the beginning working process no plus your cost this month okay we like to call it cost this month which is actually your total manufacturing cost for the current period okay so let's try to add that [Music] plus the total of these two which is already here that's now your cost for the period okay if you total that you will get this so this is your total cost to be accounted for if you go to your work in process no your total cost to be accounted for is actually the total of the beginning balance and your total manufacturing cost also known as your total cost place in process okay and then cost as accounted for for puntayansa ending violence access are cost of goods manufactured or if they are not yet finished balika nathan assuming that it will go to another department you can call this completed and transfer the cost of how much was completed and transferred okay so this is not the total cost for your materials and conversion okay coming from the beginning and this month divided by the equivalent units of production and the cost per eup will be 76.25 and you will have 72.75 for a total of inadona total okay so you now have 149 okay for materials and conversion okay so are you this divided by that and then this divided by sorry divided by that one now you have your total cost to be accounted for okay and the cost per equivalent unit of production you can now go to reconciliation now this cost no the total cost to be accounted for should be equal to the cost as accounted for san bayen pumunta okay so if you were able to complete 4 800 this period okay add the work in process at the end which is 160 and 100 sun elite nangalinium 160 and 100 that is the ending inventory times the percentage of completion for materials and conversion okay which is 160 100 400 times 40 400 times 25 there you go okay chill lung okay relax lung now let's continue transferred out or completed which is 4 8 plus the and percentage of completion for the ending inventory okay these are the costs okay it was this is actually young twelve thousand two hundred nine this is um you know cos carina which is a t20 76.25 times 160 units and 160 times 76.25 what about this this is actually 100 units sayon 100 units times 72.75 okay the cost per eup for conversion cost okay and the cost per eup for your materials okay now you multiply that and then you add okay the total is three seven hundred thirty four thousand six hundred seventy five which is the same as your cost to be accounted for okay pop so that's for your weighted average okay you try to put step one step two and step three together in one report you now have your cost of production report operation costing it is also known as hybrid costing ky hybrid because um it is a combination of job order and process costing no feeding at the beginning of order munayan and then at some point okay you're going to apply the concepts for process costing okay like like for example if you're the inner langan if your business is like t i know my mukbang costume is it's not just one or two units okay okay one job order is composed of a lot of units and characteristics okay so job order munayan okay then at some point mcgee process costing shakapaksa by sabine okay for talking about batches now let's talk about fifo method okay for fifo method okay this one is actually better no than weighted average method can say um it could see there is or it's applicable especially if there is a significant difference in the cost incurred this year and last year or this period and last period it also considers not the percentage of completion from your beginning inventories now there are different ways on how you can compute the eup i'll show you the shortcut later okay but first the meeting one another in discussion e and let's revisit this is our earlier example okay so you have 300 at the beginning you started with 6 000 units so you're supposed to complete 6 300 units but you only completed 5400 which means okay five four minus three hundred so that's five thousand one hundred came from six thousand that's five four minus three hundred okay so you now have five one okay junior is six thousand so six thousand minus five one that is now 900 units okay just the basic line you started with 300 okay at the beginning okay you started in process 6 000 okay so you now have 63 but you completed 5400 what is left is 900 units okay let's compute for your eup this is actually your euv using your weighted average okay per weight long we are using fifo method diva actually from the eup no using weighted average edu in shortcut machina sabico you simply deduct the percentage of completion from the beginning of your work in process and you will now have your eup using fifo okay that's the easiest approach okay once you have the eup using fifo you can now only already not in four materials okay you have five nine or tea this is your eup for weighted average if you deduct 120 you will now have your eup or fifo video balance weighted average okay so that's the only difference no the percentage of completion for your beginning inventory why do you have to deduct this because this one is an output from last period okay your input no or your output for this period is the percentage of of and these are already completed for this period but if for example no at the beginning is 40 completed and then at the end it's 50 completed therefore your eup for this item is only 10 percent so you remove this because this pertains to last period okay so let's use the earlier example we started with 200 okay and then you have 5 thousand for 18 completed at the end of the period you now have 400. let's put that into t accounts beginning 200 ending 400 your started in process is 5 000. question how much is the started oops started completed started completed and transferred okay this is actually your started in process minus the ending balance this is your started in process so out of 5000 minus 400 the started completed and transferred is actually how much four thousand four thousand six hundred okay but how many units were actually completed and transferred it's four thousand eight hundred okay in two hundred per month okay so 200 plus 46 you now have four eight your five thousand okay four hundred of that went to your ending inventory so out of five thousand only four thousand six hundred was completed okay so formula done now let's continue i just want to emphasize one thing oh okay so you have the beginning inventory at uh 90 and 40 take note that in this approach the euv is eups computed as follows okay kanina in the weighted average we used four thousand eight hundred plus one sixty right okay this time you have four six this is your started and completed jung nangali is our last slide you can fit nothing started completed and transferred that's five thousand minus four hundred okay this is the percentage of your inventory um beginning percentage of if it's 55 completed let's go back to the previous slide if it's 55 completed yes it's 55 percent completed for materials 30 percent for conversion so ammo for this period is the difference 100 minus 55 you get 45 oops 55 and this one is 100 percent okay percent puyan minus 30 percent you'll now have 70 percent like i say fifty five and thirty percent trina bahunilla and last period is the difference which is forty five percent and seventy percent okay plus of course what was started and completed and the percentage of completion for the ending so you get four 850 as the eup using fifo now using the approach earlier okay wherein we start we started with the completed and transferred and completed and transferred plus the percentage of completion for your ending balance no you will now get the eup eup for your weighted average from there you deduct the percentage of completion of your beginning balance and you will now get the equivalent unit of production for fifo diva so let's try to apply this no assuming materials monetary we completed and transferred nothing you have four eight okay and then the percentage of completion for the ending balance is of asana materials is 400 times 40 so you have 160 the eup for weighted average is 4 960 less the percentage of completion for the beginning balance okay which is 55 no 55 percent take note that this one is what is not completed you know so 55 percent completed in 200 any of this 110 right five 4960 4850 malikangan [Music] no that's a different example let's use the other example she's the one you have four 960 as the eup this is your eup for this example no for the weighted average so from 4960 you simply deduct the percentage of completion of the beginning inventory which is 55 55 times 200 that's 110 oops so you have four nine four eight fifty now let me know now let me know in our discussion board if you will arrive at 4 8 40 okay as the eup four fifo if you use this approach signal 25 times 400 that will be 100 okay so for weighted average you will now have four nine okay adito or santa and then minus the percentage of completion for the beginning that's thirty percent times two hundred thirty percent times two hundred megapuyon is that 60 okay so minus 10 4 9 minus 60 you will get 4 8 4 8 40 eun chapel ion okay now that you have your eup5o you can now compute for the cost per eu now kanina no the cost for eup using your weighted average k includes okay your cost per equivalent unit of production and their weight and average okay is computed by adding the cost of the beginning working process plus your total manufacturing cost is your cost this period you divided by your eup using weighted average now if you are supposed to compute for the cost per eq under fifo because it's already first in first out don't include the beginning balance okay you just use the total manufacturing cost or cost this month no divided by your eup using first in first out so in this case in the scenario 15175 you will just use three six eight six hundred and three fifty nine hundred okay what all right so from there you divided by the eup which is computed earlier this is now the cost per equivalent unit of production when it comes to materials and as to conversion costs okay so now you know your total cost to be accounted for and let's reconcile that okay this is the cost of the beginning and the current period which went to your ending and completed and transferred okay so this is now your started and completed in may okay so you have four seeks to put alumni and using weighted average we use four 4 800. okay and then you get the percentage of completion okay for the ending period you multiply that with your cost per eup get the total it should be equal to your cost as accounted for so if that is equal then okay your cost will be accounted for is equal to your cost as accounted for now there are uh there are some cases wherein your cost as accounted for is less than your total cost to be accounted for yeah that will be discussed in the next chapters when we talk about lost units so that will not be your next assignment okay how are you going to account for lost units lost units for weighted average or lost units for first in first out and lost units if they happen at the beginning of the process during the process or at the end of the process okay or loss units when they are considered as normal losses or abnormal losses okay so those will be your assignments okay so i guess that's it okay number one you should be able to compute for your eup how do you compute for your equivalent units of production it depends if we are using weighted average or your first in first out using weighted average eup we normally start with and we normally start with the completed completed and transferred and then so you have here your materials assuming an even no uneven tile it is a vehicle percentage of completion for materials and conversion costs so you start with your completed and transferred okay from your completed and transferred you add the percentage of completion of the ending balance ending balance of your working process okay and you will now have the equivalent units of production for weighted average and then from there you deduct when you deduct the percentage of completion now for the beginning balance of our working process and you will now get the eup for your first in first out okay to compute for your cost per eup what's up equivalent units of production okay using using let's say weighted average okay so you see weighted average nina tire weighted using weighted average the cost per eup will be computed by adding the beginning balance of your working process beginning cosmo i'm talking about the cost plus the cost this month or your total manufacturing cost okay and then you divide that by you divide this by i know e you p using of course we did we did average and and then if we are using five phoneman using fifo your cost per eup will be simply tatanga when in beginning you have cost this month what is your cost this much simply your total manufacturing cost i don't know the opportunity and your direct labor direct materials and factory overhead divided by e you p computed using the fifo okay maybe your work in process very important no you have the beginning balance and ending balance in terms of this one is in terms of quantity and okay you have here your um started in process started in process not necessarily completed no and then here you have your completed and transferred to other department okay normally this one will be completed so it will go there a part of your started in process will also be completed it will go there okay what is not completed will go to your ending balance what is not completed will go to your ending balance okay so i atom partner this part right here what was started completed and transferred for the period casino if you're going to compute for the eup fifo using the previous approach if you're not using this approach nokia language and although this is your started completed and transferred this is actually the difference of started in process minus the beginning inventory and so you remove that and what you have is the number of units which were started this period you know and completed at the same time okay so that's of production report no no counterparty tonight um cost she does a job order costing that in okay what are the different parts no okay so first you have computation of equivalent units of production and then number two okay your cost to be accounted for let's write that down cost to be accounted for okay together with your computation of cost per e you p and then the third part okay will now be your cost us counted cost as accounted for at your reconciliation portion nothing [Music] so i guess that's it no if you have any questions please feel free to post them in our discussion board so that's it for process costing and your cost of production report okay and thank you