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Category > Management Posted 20 Feb 2018 My Price 6.00

Annenbaum Corporation

Annenbaum Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 400 units. The costs and percentage completion of these units in beginning inventory were:

 

 

Percent

 

Cost

Complete

Materials costs

$5,700

65%

Conversion costs

$6,800

45%

A total of 6,500 units were started and 5,900 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:

Materials costs

$125,500

Conversion costs

$207,000

The ending inventory was 50% complete with respect to materials and 35% complete with respect to conversion costs. Note: Your answers may differ from those offered below due to rounding error. In all cases,  select the answer that is the closest to the answer you computed. To reduce rounding error,  carry out all computations to at least three decimal places. The cost of ending work in process inventory in the first processing department according to the company"s cost system is closest to:

A) $19,148

B) $22,223

C) $54,708

D) $27,354

Answers

Maurice Tutor
(5)
Status NEW Posted 20 Feb 2018 10:02 PM My Price 6.00

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