Watson Corporation has the following information for the current month:

Units started 95,000 units

Beginning Work in Process:(30%complete) 15,000 units

Normal spoilage (discrete) 3,000 units

Abnormal spoilage 4,000 units

Ending Work in Process: (75% complete) 15,000units

Transferred out 88,000 units

Beginning Work in Process Costs:

Material $18,000

Conversion 14,000

All materials are added at the start of the production process. Watson Corporation inspects goods at 75 percent completion as to conversion.

Refer to Watson Corporation. Assume that the costs per EUP for material and

conversion are $2.00 and $2.25, respectively. Using FIFO, what is the total cost

assigned to the transferred-out units (rounded to the nearest dollar)?

Select one:

a. $365,875

b. $376,938

c. $344,938

d. $378,625