Dengo Co. makes a trail mix in two departments: roasting and blending. Direct materials are added...

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Accounting

Dengo Co. makes a trail mix in two departments: roasting andblending. Direct materials are added at the beginning of eachprocess, and conversion costs are added evenly throughout eachprocess. The company uses the FIFO method of process costing.During October, the roasting department completed and transferred23,600 units to the blending department. Of the units completed,3,700 were from beginning inventory and the remaining 19,900 werestarted and completed during the month. Beginning work in processwas 100% complete with respect to direct materials and 30% completewith respect to conversion. The company has 3,100 units (100%complete with respect to direct materials and 70% complete withrespect to conversion) in process at month-end. Information on theroasting department’s costs of beginning work in process inventoryand costs added during the month follows.
Cost Direct Materials Conversion
Of beginning work inprocess inventory $ 10,600 $ 112,230
Added during the month 280,600 1,131,894

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All working forms part of the answer Follow the give steps STEP 1 Reconciliation of Units Units already completed completed this period Material Conversion cost Material Conversion cost Beginning WIP 3700 100 30 0 70 Units introduced 23000 Total units to be accounted for 26700 Completed and Transferred unit 23600 0 0 100 100 Ending WIP 3100 0 0 100 70 STEP 2 Equivalent Units Total Units Materials Conversion Cost Units Transferred completed this period Equivalent Units completed this period Equivalent Units From WIP 3700 0 70 2590 From See Answer

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Cost	Direct Materials		Conversion
Of beginning work inprocess inventory	$	10,600	$	112,230
Added during the month		280,600		1,131,894