Pantanal, Inc., manufactures car seats in a local factory. For costing purposes,
ID: 2357004 • Letter: P
Question
Pantanal, Inc., manufactures car seats in a local factory. For costing purposes, it uses a first-in, first-out (FIFO) process costing system. The factory has three departments: Molding, Assembling, and Finishing. Following is information on the beginning work-in-process inventory in the Assembling Department on August 1: Costs Degree of Completion Work-in-process beginning inventory (11,000 units) Transferred-in from Molding $ 99,000 100 % Direct materials costs 168,200 60 Conversion costs 59,000 40 Work-in-process balance (August 1) $ 326,200 During August, 100,000 units were transferred in from the Molding Department at a cost of $2,070,000 and started in Assembling. The Assembling Department incurred other costs of $925,920 in August as follows: August Costs Direct materials costs $ 743,140 Conversion costs 182,780 Total August costs $ 925,920 At the end of August, 13,000 units remained in inventory that were 80 percent complete with respect to direct materials and 40 percent complete with respect to conversion. Required: Compute the cost of goods transferred out in August and the cost of work-in-process ending inventory. (Round the unit costs for prior department costs, materials, and conversion to 2 decimals and the final answers to the nearest dollar amount. Omit the "$" sign in your response.) Cost of goods transferred out $ Cost of WIP ending inventory $Explanation / Answer
Pantanal, Inc., manufactures car seats in a local factory. For costing purposes, it uses a first-in, first-out (FIFO) process costing system. The factory has three departments: Molding, Assembling, and Finishing. Following is information on the beginning work-in-process inventory in the Assembling Department on August 1 During August, 102,000 units were transferred in from the Molding Department at a cost of $2,142,000 and started in Assembling. The Assembling Department incurred other costs of $1,164,600 in August as follows: August Costs Direct materials costs . . . . . . . . . . $ 939,600 Conversion costs . . . . . . . . . . . . . 225,000 Total August costs . . . . . . . . . . . $1,164,600 At the end of August, 16,000 units remained in inventory that were 90 percent complete with respect to direct materials and 50 percent complete with respect to conversion.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.