Cases R Us manufactures and sells storage cases in one department. Direct material is added at the beginning of the production process whilst conversion costs are uniformly incurred throughout the production process. The cost of beginning work in process (WIP) for November is $70,000 for direct materials, $8,000 for direct labour and $12,000 for manufacturing overhead costs. In addition, the costs incurred during November are $210,000 for direct materials, $41,280 for direct labour and $61,920 for manufacturing overhead costs. At the beginning of November there were 50,000 storage cases on hand where these were 40% complete with respect to conversion. Production commenced on 150,000 storage cases and at the end of the month there were 20,000 storage cases where these were 60% complete with respect to conversion.

Question:

Using the FIFO method of process costing, calculate the cost of:

i) goods completed and transferred out, and ii) work in process at the end of November

Show the journal entry to record the transfer of completed goods.