Required

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%.

Physical Unit (Frames) Direct Materials Conversion Costs Work in process, April 1* 120 $ 2,140 $2,916 Started during April 2013 485 Completed during April 2013 445 Work in process, April 30 Total costs added during April 2013 160 $18,430 $9,315