Question
A.P. Hill Corporation uses a process-costing system. Products are manufactured in a series of three departments. The following data relate to Department Two for the
A.P. Hill Corporation uses a process-costing system. Products are manufactured in a series of three departments. The following data relate to Department Two for the month of February:
Beginning work-in-process (70% complete) | 10,000 units |
Goods started in production | 80,000 units |
Ending work-in-process (60% complete) | 5,000 units |
The beginning work-in-process was valued at $66,000, consisting of $20,000 of transferred-in costs, $30,000 of materials costs, and $16,000 of conversion costs. Materials are added at the beginning of the process; conversion costs are added evenly throughout the process. Costs added to production during February were
Transferred-in | $16,000 |
Materials used | $88,000 |
Conversion costs | $50,000 |
Under the weighted-average method, how much materials cost did A.P. Hill transfer out of Department Two during February?
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