1. Do Problem 5- 30 using the FIFO method of process costing. If you did Problem 5- 30, explain any difference between the cost of work completed and transferred out and the cost of ending work in process in the assembly department under the weighted- average method and the FIFO method.
2. Should Porter’s managers choose the weighted- average method or the FIFO method? Explain briefly.
Problem 5- 30
aDegree of completion: direct materials, 100%; conversion costs, 40%.
bDegree of completion: direct materials, 100%; conversion costs, 5%.