Vacumatic, Inc

Essay

Vacumatic, Inc. uses the FIFO method in its process costing system. The following data concern the operations of the company's first processing department, Assembly, for a recent month.

Required:
Using the FIFO method:
a. Determine the equivalent units of production for materials and conversion costs.
b. Determine the cost per equivalent unit for materials and conversion costs.
c. Determine the cost of ending work-in-process inventory.
d. Determine the cost of units transferred out of the department during the month.