Moulgadi Corporation uses the FIFO method in its process costing system. Data concerning the first processing department for the most recent month are listed below: 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 total cost transferred from the first processing department to the next processing department during the month is closest to:
A) $526,967
B) $583,000
C) $620,901
D) $567,500

Question

Moulgadi Corporation uses the FIFO method in its process costing system. Data concerning the first processing department for the most recent month are listed below:  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 total cost transferred from the first processing department to the next processing department during the month is closest to:
A) $526,967 
B) $583,000 
C) $620,901 
D) $567,500

Quizplus · Accepted Answer

The total cost transferred from the first processing department to the next is closest to $526,967, as this option is the most reasonable estimate based on the given choices.

Moulgadi Corporation Uses the FIFO Method in Its Process Costing