Work in process in Look Company's Grinding Department is: Work in process - Grinding Department $ 600 To Finished Goods, 800 units 900 Beginning inventory Materials, 400 units, 55% completed Direct materials, 600 units @ $1.50 Direct labor, 30 hours @ $10.40 Factory overhead, 30 hours @ $16 Ending balance, 200 units, 40% completed 312 All direct materials are added at the beginning of the process. Since the conversion cost per equivalent unit in the current period is $1.20, what is the cost of the first 400 units transferred out of the Grinding Department, assuming a FIFO flow of inventory? $ 816 $ 864 $ 1,170 $ 970