In June, one of the processing departments at Furbush Corporation had ending work in process inventory of $12,000. During the month, $404,000 of costs were added to production and the cost of units transferred out from the department was $426,000.
-In the department's cost reconciliation report for January,the cost of beginning work in process inventory for the department would be:
A) $34,000
B) $414,000
C) $10,000
D) $392,000

Question

Quizplus · Accepted Answer

Cost of beginning work in process inventory = Cost of ending work in process inventory + Cost of units transferred out - Costs added to production = $12,000 + $426,000 - $404,000 = $34,000

In June, One of the Processing Departments at Furbush Corporation