Magna Bin, Inc., manufactures large metal waste containers that are purchased by local sanitation departments. Containers are produced in two processing departments, Fabricating and Painting. In the Fabricating Department, all of the direct materials are added at the beginning of the process, overhead is applied evenly throughout the entire process, and labor is added evenly only during the last 50 percent of the process. In the Painting Department, materials and labor are added evenly throughout the first half of the process, while overhead is applied evenly throughout the entire process. Magna Bin uses process costing and had the following cost and production information available for the month of January:

At the end of January, units remaining in work in process in the Fabricating Department were 30 percent complete, while units in ending work in process in the Painting Department were 70 percent complete. During the month, 450 containers were sold at an average selling price of $180 each.

1. Calculate the number of equivalent units produced for each cost category in each of the two departments during January.
2. Based on equivalent units, what were the fabricating cost, painting cost, and total cost of producing a container in January?
3. Prepare the journal entries summarizing the manufacturing costs charged to the Fabricating Department and the Painting Department.
4. Prepare the month-end journal entries to transfer the costs of containers moved from the Fabricating Department to the Painting Department and from the Painting Department to Finished Goods Inventory.

Direct materials costs... Direct labor costs... Manufacturing overhead applied.... Units in beginning work in process Units started during Jan. Units completed and transferred out.. Fabricating Painting Department Department $ 7,740 $13,752 18,060 8,022 27,090 12,033 0 0 750 600 600 510