HiFiber produces fiber$-$optic cable and uses the FIFO method of process costing. Direct materials are all

added at the beginning of production and conversion costs are incurred uniformly during production.

In October, HiFiber had $2,000$ units in beginning work$-$in$-$process that were $10$ percent complete with

respect to conversion costs. HiFiber completed $86,000$ units during October, and there were $10,000$ units in

ending work$-$in$-$process inventory $(25$ percent complete for conversion costs$)$ at the end of October.

HiFiber reported the following cost information for October production:

Direct

Materials

Conversion

Costs

Beginning WIP costs $ $150,000$ $ $10,000$

Costs added in the current period $

$8,000,000$

$

$4,500,000$

Required:

$

Question Answer

a$.$ How many units were started in October? $94,000$ units

b$.$ What is the total production cost for a unit produced in October? Note: Do not round

your intermediate calculations. Round your final answer to $2$ decimals. $136\mathrm{.}06$

c$1.$ What are the total costs transferred out of production? Note: Do not round your

intermediate calculations. Round your final answer to $2$ decimals.

c$2.$ What is the total cost of ending work$-$in$-$process inventory? Note: Do not round your

intermediate calculations. Round your final answer to $2$ decimals.