In August, one of the processing departments at Tsuzuki Corporation had beginning work in process inventory of $24,000 and ending work in process inventory of $13,000. During the month, $283,000 of costs were added to production.In the department's cost reconciliation report for August, the total cost to be accounted for would be:
A) $37,000
B) $307,000
C) $590,000
D) $614,000

Question

Quizplus · Accepted Answer

The total cost to be accounted for equals the beginning work in process inventory plus the costs added to production, which equals $24,000 + $283,000 = $307,000. The ending work in process inventory is not included in the total cost to be accounted for, as it is part of the work in process inventory for the following period. Therefore, the correct answer is B.

In August, One of the Processing Departments at Tsuzuki Corporation