Asked by Claire Roberts on May 21, 2024

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In May, one of the processing departments at Messerli Corporation had beginning work in process inventory of $18,000 and ending work in process inventory of $39,000. During the month, $152,000 of costs were added to production and the cost of units transferred out from the department was $131,000. The company uses the first-in, first-out method in its process costing system. In the department's cost reconciliation report for May, the total cost to be accounted for would be:

A) $170,000
B) $340,000
C) $57,000
D) $322,000

Process Costing

A costing method used in manufacturing where costs are allocated to batches or process levels, suitable for standardized products.

Work in Process Inventory

The value of unfinished goods in the production process at a specific point in time.

Costs Added

Additional expenses incurred during the production or operational process, contributing to the total cost of a product or service.

  • Compute the aggregate expense to be considered in a cost reconciliation statement.
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Hannah NicoleMay 24, 2024
Final Answer :
A
Explanation :
The total cost to be accounted for is the sum of the beginning work in process inventory and the costs added during the period, which is $18,000 + $152,000 = $170,000.