Tabet Corporation uses the FIFO method in its process costing system.Operating data for the Curing Department for the month of March appear below:
According to the company's records,the conversion cost in beginning work in process inventory was $20,349 at the beginning of March.The cost per equivalent unit for conversion costs for March was $5.00.
How much conversion cost would be assigned to the units completed and transferred out of the department during March?
A) $273,550
B) $293,899
C) $285,000
D) $293,500

Question

Tabet Corporation uses the FIFO method in its process costing system.Operating data for the Curing Department for the month of March appear below:
 According to the company's records,the conversion cost in beginning work in process inventory was $20,349 at the beginning of March.The cost per equivalent unit for conversion costs for March was $5.00.
How much conversion cost would be assigned to the units completed and transferred out of the department during March?
A) $273,550 
B) $293,899 
C) $285,000 
D) $293,500

Quizplus · Accepted Answer

FIFO method
Units started and completed during the period = Units started into production during the period - Units in ending work in process inventory = 57,000 - 4,000 = 53,000
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Tabet Corporation Uses the FIFO Method in Its Process Costing