Asmee Concept manufactures small tables in its Processing Department. Direct materials are added at the initiation of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Before inspection, some units are spoiled due to non$-$detectable materials defects. Inspection occurs at the end of the process. Spoiled units generally constitute $5$ percent of the good units. Data for December are as follows:

$\backslash$table$[[$WIP$,$ Beginning inventory Dec $1,10,000$ units$],[$Direct materials: $100\%$ complete,$],[$Conversion costs: $75\%$ complete,$],[,],[$Started during December,$40,000$ units$],[,],[$Completed and transferred out during month,$38,400$ units$],[,],[$WIP$,$ ending inventory December $31,8,000$ units$],[$Direct materials: $100\%$ complete,$],[$Conversion costs: $65\%$ complete,$],[,],[$Costs:$,],[$WIP$,$ beginning inventory:,$]]$

$\backslash$table$[[$Conversion costs: $65\%$ complete,$],[$Costs:$,],[$WIP$,$ beginning inventory:,$],[$Direct materials,$$50,000$