Hello,

I'm not understanding how to calculate this. Any help would be appreciated.

Calculate the cost of goods transferred out and the ending inventory using the FIFO method

Cost of goods transferred out ____

Cost of ending inventory ___

Deliberate Lubricants plant uses the FIFO method to account for its work-in-process inventories. THe account records show the following information for a certain day of the week.

Beginning WIP inventory

Direct materials 1,000

conversion costs 437

Current period costs

direct materials 15,995

conversion cost 13,992

Quantity information is obtained from the manufacturing records and includes the following:

Beginning inventory 400 units (70% completed materials,55% completed conversion)

Current period units started 5,100 units

ending inventory 1,300 units (50% completed materials, 20% completed conversion)

thanks for any help you could provide.