Answer:
Cost of goods transferred out (FIFO) = $ 6122589.82
Cost of Ending Inventory = $ 939,470.18
Explanation:
Units % of Completion EUP
D.M C.C D.M C.C
Units completed 114,000 100 100 114,000 114,000
Ending Inventory 36,000 80 40 28,800 14400
Total Equivalent Units Of Production 142,800 128,400
Direct Materials= $ $2,721,900/142,800 = $ 19.0761
Conversion Costs = $3,478,200/ 128,400= $ 27.089
Cost of Ending Inventory = $549,391.68 + $390,078.5= $ 939,470.18
Materials = $ 19.0761* 28,800 = $549,391.68
Conversion Costs =$ 27.089
*14400
= $390,078.5
Beginning work-in-process inventory Costs $861,960
Costs incurred During the period= $2,721,900 + $3,478,200= $ 6200100
Cost of goods transferred out = Beg Inventory + Units Started- Ending Inv
Cost of goods transferred out =$861,960 + $ 6200100-$ 939,470.18
Cost of goods transferred out = $ 6122589.82
