Bubbly Inc. produces and sells candies. Bubbly purchases raw materials, stores them in warehouse, and then runs them through two processes: production and packaging.

During September, the production process incurred the following costs in processing 20,000 candies:

Use the FIFO method to compute the September conversion costs in the Production Department.

A) $65,000

B) $200,000

C) $56,500

D) $8,500

Wages of workers operating production equipment Manufacturing overhead allocated to the production department Direct materials $56,500 8,500 135,000