Gold Giant Products, Inc., cans peas and uses an average cost system. For the month of November, the company showed the following:
Peas completed and canned . . . . . . . . . . . . . . . . . . . . . . . . . . . 245,000 pounds
Peas in process at the end of November: 100%
complete as to peas, 50% complete
as to labor and overhead, 0% complete
as to cans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,500 pounds
Cost data:
Peas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $0.10 per equivalent pound
Labor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $0.25 per equivalent pound
Overhead . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $0.15 per equivalent pound
Cans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $0.07 per can
Each can contains 16 oz, or 1 lb, of peas.
Required:
1. Calculate the cost of the completed production for November.
2. Show the detailed cost of the ending inventory for November.