Gallons

Beginning Work-in-Process Inventory = 400 gallons

Started in production = 8,700 gallons

Completed and transferred out to Packaging in March = 7,900 gallons

Ending Work-in-Process Inventory (80% of the way = 1,200 gallons

through the fermenting process) 

Costs

Beginning Work-in-Process Inventory:

Direct materials =$6,370

Direct labor = 250

Manufacturing overhead allocated = 260

Costs added during March:

Direct materials = 4,550

Direct labor = 196

Manufacturing overhead allocated = 4,610

Total costs added during March = $9,356

Smith Winery in Pleasant Valley, New York, has two departments: Fermenting and Packaging. Direct materials are added at the beginning of the fermenting process (grapes) and at the end of the packaging process (bottles). Data from the month of March for the Fermenting Department are as follows: