(Hybrid costing) Snappy-Jacks Inc. manufactures sports jackets (one size fits most) for sports clubs and other organizations. Each jacket goes through the same conversion process, but customers may select the fabric (dacron, denim, or cot¬ ton) to be used. The company uses a standard costing system, and standard costs for each type of jacket follow:

Material is added at the start of production. In May 1997, there was no beginning Work in Process Inventory and 1,500 jackets were started into production. Of these, 200 were dacron, 600 were denim, and 700 were cotton. At the end of May, 300 jackets (50 dacron, 100 denim, and 150 cotton) were not yet com¬ pleted. The stage of completion for each cost component for the 300 unfinished jackets is as follows:

a. Determine the total cost of the jackets completed and transferred to Finished Goods Inventory.

b. Determine the total cost of the jackets in ending Work in Process Inventory.LO1

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Material (5 yards) Direct labor (2 hours) Overhead (based on 1.5 machine hours) Total DACRON DENIM COTTON $10 $ 5 $12 12 12 12 9 9 9 $31 $26 $33