Question
A department uses the FIFO method of process costing. All direct materials are added at the beginning of the process. This department has the following
A department uses the FIFO method of process costing. All direct materials are added at the beginning of the process. This department has the following data for this month.
160 units in beginning WIP (37% complete with respect to conversion costs).
10,271 units started
126 units in ending WIP (41% complete with respect to conversion costs).
$18 direct material cost per equivalent unit
$14 conversion cost per equivalent unit
$2 direct material cost in beginning WIP
$2 conversion cost in beginning WIP
What is the department's total cost of units completed and transferred out ?
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Step: 1
To calculate the departments total cost of units completed and transferred out using the FIFO method ...
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Managerial Accounting Decision Making and Motivating Performance
Authors: Srikant M. Datar, Madhav V. Rajan
1st edition
132816245, 9780132816243, 978-0137024872
