Pestiferous Manufacturing produces a chemical pesticide and uses process costing. There are three processing departmentslong dashMixing, Refining, and Packaging. On January 1, the first departmentlong dashMixinglong dashhad no beginning inventory. During January, 40 comma 000 fl. oz. of chemicals were started in production. Of these, 32 comma 000 fl. oz. were completed, and 8 comma 000 fl. oz. remained in process. In the Mixing Department, all direct materials are added at the beginning of the production process, and conversion costs are applied evenly throughout the process. At the end of January, the equivalent unit data for the Mixing Department were as follows:
UNITS Equivalent Units Equivalent Units
Units to be accounted for Direct Materials Costs Conversion Costs
Completed and transferred out 40,000 40,000 40,000
Ending work-in-process 8,000 8,000 3,520
48,000 48,000 43,520
Percent complete for conversion costs: 44%
In addition to the above, the cost per equivalent unit were$1.35 for direct materials and $5.30 for conversion costs. Using this data, calculate the full cost of the ending WIP balance in the Mixing Department. The weighted-average method is used.
A. $43,520
B. $64,800
C. $29,456
D. $10,800