Answer:
The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to: d) $21,797
Explanation:
Calculation of Equivalent Units of Production 
<u>Materials </u>
Units transferred to the next department (5,800 × 100%) = 5,800
Units in ending Work In process (1,850 × 50%)                  =    925
Total Equivalent Units of Production for Materials             = 6,725
<u>Conversion</u>
Units transferred to the next department (5,800 × 100%)    = 5,800
Units in ending Work In process (1,850 × 20%)                     =    370
Total Equivalent Units of Production for Conversion Costs =  6,170
Calculation of Cost per Equivalent units of Production
Materials
Cost per equivalent unit = Total Material Cost ÷ Total Equivalent Units of Production for Materials
                                         = ($ 8,700 + $ 91,000) ÷ 6,725
                                         = $14.825
Cost per equivalent unit = Total Material Cost ÷ Total Equivalent Units of Production for Materials
                                         = ($ 8,500 + $ 126,300) ÷ 6,170
                                         = $21.848
Calculation of cost of ending work in process inventory
Materials ( 925 ×  $14.825)             =  $13,713.12
Conversion Cost ( 370 × $21.848)  =  $8,083.76
Total                                                 =  $21,796.88
Thus,
The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to: d) $21,797.