Samantha's Office Supplies manufactures desk organizers in its Processing Department. Direct materials are included at the inception of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Inspection takes place as units are placed into production. After inspection, some units are spoiled due to undetectable material defects. Spoiled units generally constitute 3% of the good units. Data provided for February 2020 are as follows: WIP, beginning inventory 2/1/2020 51,700 units Direct materials (100% complete) Conversion costs (60% complete) Started during February Completed and transferred out 170,300 units 180,800 units 26,000 units WIP, ending inventory 2/28/2020 Direct materials (100 % complete) Conversion costs (25% complete) Costs: WIP, beginning inventory: Direct materials Conversion costs Direct materials added Conversion costs added $280,000 80,000 408,720 265,794 Prepare a process costing worksheet using FIFO method. 12