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Please show work, Thank You! Pantanal, Inc., manufactures car seats in a local factory. For costing purposes, it uses a first-in, first-out (FIFO) process costing
Please show work, Thank You!
Pantanal, Inc., manufactures car seats in a local factory. For costing purposes, it uses a first-in, first-out (FIFO) process costing system. The factory has three departments: Molding, Assembling, and Finishing. Following is information on the beginning work-in-process inventory in the Assembling Department on August 1: Degree of Completion Costs Work-in-process beginning inventory (10,000 units) Transferred-in from Molding Direct materials costs Conversion costs Work-in-process balance (August 1) $101,000 156,200 63,000 $320,200 100% 60 30 During August, 99,000 units were transferred in from the Molding Department at a cost of $2,039,400 and started in Assembling. The Assembling Department incurred other costs of $1,200,710 in August as follows: Direct materials costs Conversion costs Total August costs August Costs $ 902,720 297,990 $1,200,710 At the end of August, 19,000 units remained in inventory that were 80 percent complete with respect to direct materials and 40 percent complete with respect to conversion. Required: Compute the cost of goods transferred out in August and the cost of work-in-process ending inventory. (Do not round intermediate calculations.) Cost of goods transferred out Cost of WIP ending inventoryStep by Step Solution
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