(FIFO; second department; advanced) Octavia Corp.’s products are manufactured in three separate departments: Molding, Curing, and Finishing. Materials are introduced in Molding; additional material is added in Curing. The following information is available for the Curing Department for May 2010:
|
Beginning WIP Inventory (degree of completion: transferred in, 100%; direct material, 80%; direct labor, 40%; overhead, 30%) |
8,000 units |
|
Transferred in from Molding |
40,000 units |
|
Ending WIP Inventory (degree of completion: transferred in, 100%; direct material, 70%; direct labor, 50%; overhead, 40%) |
4,000 units |
|
Transferred to Finishing |
? units |
|
Cost Component |
BI Cost |
Current Period Cost |
|
Transferred in |
$200,160 |
$1,620,000 |
|
Direct material |
42,504 |
333,300 |
|
Direct labor |
31,360 |
517,880 |
|
Overhead |
4,848 |
267,840 |
Use the information for Octavia Corp, except assume that the company uses FIFO costing. Prepare, in good form, a FIFO cost of production report for the Curing Department for May 2010.