Hsu Corporation uses the FIFO method in its process costing system.The following data concern the company's Grinding Department for the month of August. $$\begin{array} { | l | r | }
\hline \text { Cost in beginning work-in-process inventory } & \$ 1,090 \
\hline \text { Units started and completed this month } & 2,670 \
\hline
\end{array}$$

Required:
Determine the cost of ending work-in-process inventory and the cost of units transferred out of the department during August using the FIFO method.

Question

Hsu Corporation uses the FIFO method in its process costing system.The following data concern the company's Grinding Department for the month of August. $$\begin{array} { | l | r | } 
\hline \text { Cost in beginning work-in-process inventory } & \$ 1,090 \
\hline \text { Units started and completed this month } & 2,670 \
\hline
\end{array}$$ 
 
Required:
Determine the cost of ending work-in-process inventory and the cost of units transferred out of the department during August using the FIFO method.

Quizplus · Accepted Answer

The Answer of Hsu Corporation uses the FIFO method in its process costing system.The following data concern the company's Grinding Department for the month of August. $$\begin{array} { | l | r | } 
\hline \text { Cost in beginning work-in-process inventory } & \$ 1,090 \
\hline \text { Units started and completed this month } & 2,670 \
\hline
\end{array}$$ 
 
Required:
Determine the cost of ending work-in-process inventory and the cost of units transferred out of the department during August using the FIFO method.

Hsu Corporation Uses the FIFO Method in Its Process Costing