duction: There are two methods of preparing cost of production reports, the weighted-average costing method and the FIFO method. In this assignment, you will work within groups to prepare a cost of production report using both of the methods. In addition, you will identify the appropriate method and reasons for choosing that method for a specific type of business. Cost Production Report The following data for the Packaging Department for March are available: Units: Packaging Department Beginning WIP-Units 10,000 Started in production 80,000 Transferred out 75,000 Ending WIP Units- 15,000 Beginning WIP- % complete 40% Ending WIP- % complete 80% Costs: Beginning WIP- transferred in costs $3,000 Beginning WIP- materials costs --- Beginning WIP-Conversion costs $1,630 Transferred-in costs $9,600 Direct materials- Packaging $21,000 Conversion costs: Direct labor $ 8,470 Manufacturing overhead $ 7,300 Total conversion costs $15,770 Ben Hiebert, president of Hiebert Chocolate, Ltd, is trying to determine whether to use a weighted-average or FIFO product costing system, since Hieberts contract with Wal-Mart allows for a sales price of cost per department + 15%. Requirements 1. Consider only the Packaging Department data. Prepare cost of production reports using both weighted-average and FIFO process costing. 2. Which method should Heibert use and why