FIFO Method of Inventory Assignment
3) Refer to the following information about the Finishing Department in the Davidson Factory for the month of June. Davidson Factory uses the FIFO method of inventory costing. 5,000 units 70% 25% $7,350 $3,125 Beginning Work in Process Inventory: Physical units % complete for materials. % complete for labor and overhead……. Materials cost from May……… Labor and overhead cost from May……. The product started and completed: Physical units…… Ending Work in Process Inventory: Physical units. % complete for materials…….. % complete for labor and overhead.. Manufacturing costs for June: Materials. Labor and overhead……. 40,000 units 4,000 units 40% ………………. 10% ………………… $96,975 $79,470 Compute equivalent units for direct materials, direct labor and overhead for June. .