Japan SS Ltd manufactures premium knives on a highly automated assembly line. Its costing system...

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Accounting

Japan SS Ltd manufactures premium knives on a highly automated assembly line.

Its costing system uses two cost categories, direct materials and conversion costs.

Each product must pass through the Assembly Department and the Testing Department.

Direct materials are added at the beginning of the production process.

Conversion costs are allocated evenly throughout production.

Data for the Assembly Department for June 2021:

Work-In-Process, beginning Inventory:

Direct Materials 100% complete

Conversion Costs 50% complete

250 units

Units Started during June

800 units

Work-in-process, ending inventory:

Direct materials (100% complete)

Conversion costs (80% complete)

150 units

Units started during June

800 units

Work-in-process, ending inventory:

Direct materials (100% complete)

Conversion costs (80% complete)

150 units

Costs for June 2021:

Work-in-process, beginning inventory:

Direct materials $260,000

Conversion costs $250,000

Direct materials costs added during June

$1,000,000

Conversion costs added during June

$657,800

Required:

Calculate the amount assigned to Ending Work in Process (WIP) and Finished Goods (FG) in the Assembly Department for June 2021.

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