BAKERS makes cakes for the bakery industry. It uses a process costing system to cost its products. The company makes the foam in three departments; Forming, Trimming, and Packaging. In the Forming department the direct materials along with conversion costs are added evenly throughout the process.

The cost accountant is completing the production report for the month of April. At the beginning of the month there were 3,500 foam that had 60% of the work completed in March. 19,000 foam were started in the month of April and 2,500 remain in ending inventory at the end of April. This ending inventory is 20% complete. The rest were completed and transferred to the Trimming Department.

The cost accountant must determine how much of the following costs should be transferred to the Trimming Department and how much remains in ending inventory.

Cost of beginning work-in-process:

Direct materials$4,830

Conversion costs$2,625

Cost added during April:

Direct material$42,320

Conversion costs$23,000

Q.1 Using the first-in, first-out (FIFO) method determine the assignment of the cost of plant pots transferred-out to Trimming and ending inventory for the Forming department for the month of April.