1. Using the FIFO process-costing method, do the requirements of Exercise 4.24. The transferredin costs from the Forming Department for the April opening work in progress are €17,520. During April, the costs transferred in are €103,566. All other data are unchanged.

2 Explain any difference between the cost of work completed and transferred out and cost of closing work in progress in the Finishing Department under the weighted average method and the FIFO method.

Data From Exercise 4.24

Sligo Toys Ltd manufactures wooden toy figures at its Ballinode plant. It has two departments – the Forming Department and the Finishing Department. (Exercises 4.22 and 4.23 focused on the Forming Department.) Consider now the Finishing Department, which processes the formed toys through hand-shaping and the addition of metal. For simplicity here, suppose all additional direct materials are added at the end of the process. Conversion costs are added evenly during- Finishing operations.

Sligo Toys uses the weighted-average method of process costing. The following is a summary of the April 2018 operations in the Finishing Department:

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Physical units Transferred- in (toys) Direct Conversion costs materials costs Work in progress, 1 April* 500 €17 750 €0 €7 250 Transferred-in during April 2 000 Completed during April 2 100 Work in progress, 30 April 400 Costs added during April €104 000 €23 100 €38 400 Degree of completion: transferred-in costs, 100%; direct materials, 0%; conversion costs, 60%. Degree of completion: transferred-in costs, 100%; direct materials, 0%; conversion costs, 30%.