Morvan 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.
-The cost of a completed unit transferred out of the department is closest to:
A)$74.51
B)$68.27
C)$74.02
D)$70.29

Question

Morvan 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.
-The cost of a completed unit transferred out of the department is closest to:
A)$74.51 
B)$68.27 
C)$74.02 
D)$70.29

Quizplus · Accepted Answer

FIFO method
Units started and completed during the period = Units completed during the period - Units in beginning work in process inventory = 8,500 - 200 = 8,300
 11eaa48f_7bd6_45ae_9e4a_f5968fff7982_TB2485_00 
 11eaa48f_7bd6_45af_9e4a_c9b0ccace4a0_TB2485_00

Morvan Corporation Uses the FIFO Method in Its Process Costing