Roger Company Uses the FIFO Method in Its Process Costing

Roger Company uses the FIFO method in its process costing system.The following data are taken from the accounting records of a particular department for June: $\begin{array}{llcc} \text { Beginning work in process inventory: } &\\ \text { Cost......................................................} &\$17,500\\ \text { Units.....................................................} &20,000& \text { units}\\ \text { Percentage completion: } &\\ \text { Materials.............................................. } &100\%\\ \text { Conversion.......................................... } &60\%\\ \text { Units completed and transferred out.... } &75,000& \text { units}\\ \text { Cost per equivalent unit: } &\\ \text { Material.............................................. } &\$1.75\\ \text { Conversion......................................... } &\$0.50\\\end{array}$ The cost of the 75,000 units transferred out of the department during June is:

A) $151,250
B) $145,250
C) $131,500
D) $168,750