(Appendix 4A) Ozdemir 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) $490,385
B) $579,948
C) $507,800
D) $541,500

Question

(Appendix 4A) Ozdemir 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) $490,385 
B) $579,948 
C) $507,800 
D) $541,500

Quizplus · Accepted Answer

FIFO method
Units started and completed during the period = Units completed during the period - Units in beginning work in process inventory = 7,800 - 700 = 7,100
 11ea7761_18cb_e52c_81a5_99330767050e_TB2580_00 11ea7761_18cb_e52d_81a5_9f1f287f2407_TB2580_00 11ea7761_18cc_0c3e_81a5_710e986dd41c_TB2580_00

(Appendix 4A) Ozdemir Corporation Uses the FIFO Method in Its