Answer:
Choice A is the correct answer
Explanation:
Howorth Dental Products
Cost of Production Report
Equivalent Units             Materials           Conversion Costs
Finished Goods             383000             383000
Ending WIP                    19000                6650 ( 19000* 35%)
Total Equivalent Units   402,000           389650        
Costs                                  Material           D.LAbor            FOH
Preceding Department    46,100            25,000             25000
Added                                85,800          98,300               98,700
Total Costs                       131,900            123,300            123,700
Material Costs Per Equivalent Unit = 131,900/ 402,000= 0.328
Direct LAbor Costs Per Equivalent Unit = 123,300/ 389,650=0.316
FOH Costs Per Equivalent Unit = 123,700/ 389,650=0.317
Total Cost per Equivalent unit = 0.328 + 0.316+0.317= 0.961≅ 0.962 (rounding would give a difference)
Costs Transferred to Finished Goods = 0.962* 383,000= $368,446
Costs OF Ending work in Process = 0.328 * 19,000 + 0.316* 6650 + 0.317 * 6650
Costs of Ending WIP= 6232 +2108.5+ 2101.4= 10,441.9
Total Cost Allocation= 368,446 + 10,441.9=  378,887.9
Equivalent units of direct material            402,000
Equivalent units of direct labor               389,650
Equivalent units of overhead              389,650
Costs per equivalent unit                  $0.962
Transferred to Finished Goods           $368,446
Total Ending Work in Process           $10,449
Total Cost Allocation       $378,895
There's a  minute difference in the WIP ending Inventory Costs  ( 10449 - 10441.9 = 7.1)and Total Costs ($378,895-378,887.9= 7.1) which is only due to rounding off. If you round off you will get the exact figures as given in the option.