Cosmo Company produces its finished product in two processing departments--Assembly and Packaging. The following information is available for the month of July: Assembly Department: The beginning work-in-process inventory cost was $62,744 and consisted of 4,100 units that were 40% completed as to conversion costs. During July, an additional 16,800 units were started into production. A total of 15,600 units were completed and transferred out to the Packaging Department. The ending work-in-process inventory consisted of 5,300 units which were 80% complete as to conversion costs. The following costs were incurred during July: direct materials $124,320; direct labor $140,000; and factory overhead $98,420. Direct materials are added at the beginning of the process in the Assembly Department and conversion costs are incurred evenly throughout the production process. Packaging Department: The beginning work in process inventory cost was $80,936 and consisted of 3,200 units that were 20% complete as to conversion costs. During July, a total of 14,600 units were completed and transferred out to Finished Goods Inventory. The ending work in process inventory consisted of 4,200 units which were 60% complete as to conversion costs. The following costs were incurred during July: direct materials $207,320; direct |labor $100,000; and factory overhead costs $162,032. Direct materials are added at the end of the process in the Packaging Department and conversion costs are incurred evenly throughout the production process.