Synchromatic Industries manufactures tiles for sale in the home renovation industry. It uses the

weighted-average method for its two divisions. Division A performs the first process in the production

process and Division B performs the second.

Following is information for Division B for the month of September:

Physical Units

WIP, Sep 1 2,600 (30% complete)

Transferred in from Division A 12,000 units

WIP, Sep 30 3,000 (10% complete)

September 1 Costs Added

WIP in September Total

Transferred in $25,740 $120,000 $145,740

Direct materials 8,190 48,000 56,190

Direct labour 20,904 300,240 321,144

Overhead 6,864 100,080 106,944

$61,698 $568,320 $630,018

In Division B, materials are added at the beginning of the process and conversion costs are incurred

uniformly throughout the process. There is no spoilage of the products.

Instructions

Calculate the total cost of the units completed and transferred out of Division B in September (rounded)

using the FIFO method