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Ronch [10]
3 years ago
7

The Fabricating Department started the current month with a beginning Work in Process inventory of $11,600. During the month, it

was assigned the following costs: direct materials, $77,600; direct labor, $25,600; and factory overhead, 80% of direct labor cost. Also, inventory with a cost of $117,000 was transferred out of the department to the next phase in the process. The ending balance of the Work in Process Inventory account for the Fabricating Department is:
Business
1 answer:
raketka [301]3 years ago
6 0

Answer: $18,280

Explanation:

Ending inventory for fabricating department = Beginning Work in Process + Direct materials + Direct labor + Factory overhead - Inventory transferred out of department

= 11,600 + 77,600 + 25,600 + (80% * 25,600) - 117,000

= 11,600 + 77,600 + 25,600 + 20,480 - 117,000

= $18,280

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Answer:

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