q 25

Stopped Watch Company had a beginning inventory of 5,000 watches with costs of $20,000 on January 1. All materials and direct labour are added at the beginning of the production process. The beginning inventory is 70% complete as to manufacturing overhead, while the ending inventory was 40% completed for manufacturing overhead 15,000 units were started during the period and 15,000 units were completed during the period Stopped Watch Company uses FIFO process costing and calculated equivalent unit costs as follows, materials $5.00, labour, $12.00, and overhead, $3.00 What is the total cost of goods transferred out during the period using the FIFO method? OA. $224,500 OB. $320,000 OC. $470,000 OD. $300,000 O E. $230,500