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(Solved): Daosta Inc. uses the FIFO method in its process costing system. The following data concern the opera ...



Daosta Inc. uses the FIFO method in its process costing system. The following data concern the operations of the company’s first processing department for a recent month.

Work in process, beginning:
Units in process 800
Percent complete with respect to materials 40 %
Percent complete with respect to conversion 20 %
Costs in the beginning inventory:
Materials cost $ 560
Conversion cost $ 2,126
Units started into production during the month 22,000
Units completed and transferred out 22,000
Costs added to production during the month:
Materials cost $ 51,888
Conversion cost $ 582,688
Work in process, ending:
Units in process 800
Percent complete with respect to materials 50 %
Percent complete with respect to conversion 50 %

Required:

Using the FIFO method:

a. Determine the equivalent units of production for materials and conversion costs.

b. Determine the cost per equivalent unit for materials and conversion costs.

c. Determine the cost of ending work in process inventory.

d. Determine the cost of units transferred out of the department during the month..



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Note 1:Units started and completed :Note 1:Units started and completed :Units completed during the period22,000Less: Units in beginning work in proces
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