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##### Pantanal, Inc., manufactures car seats in a local...

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Pantanal, Inc., manufactures car seats in a local factory. For costing purposes, it uses a first-in, first-out (FIFO) process costing system. The factory has three departments: Molding, Assembling, and Finishing. Following is information on the beginning work-in-process inventory in the Assembling Department on August 1: Costs Degree of Completion Work-in-process beginning inventory (10,000 units) Transferred-in from Molding \$ 99,000 100 % Direct materials costs 170,800 70 Conversion costs 57,000 40 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Work-in-process balance (August 1) \$ 326,800 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- During August, 105,000 units were transferred in from the Molding Department at a cost of \$2,163,000 and started in Assembling. The Assembling Department incurred other costs of \$1,073,270 in August as follows: August Costs Direct materials costs \$ 933,680 Conversion costs 139,590 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- Total August costs \$ 1,073,270 -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- -------------------------------------------------------------------------------- At the end of August, 19,000 units remained in inventory that were 90 percent complete with respect to direct materials and 60 percent complete with respect to conversion. Required: Compute the cost of goods transferred out in August and the cost of work-in-process ending inventory. (Round the unit costs for prior department costs, materials, and conversion to 2 decimals and the final answers to the nearest dollar amount. Omit the "\$" sign in your response.) Cost of goods transferred out \$ Cost of WIP ending inventory \$

Paper#9607 | Written in 18-Jul-2015

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