Crane Instrument Company uses a process costing system. A unit of product passes through three departmentsmoulding, assembly, and finishingbefore it is completed. The following activity took place in the finishing department during May:

Raw material is added at the beginning of processing in the finishing department. The work in process inventory was 70% complete in terms of conversion costs on May 1 and 40% complete in terms of conversion costs on May 31. Crane Instrument Company uses the weighted-average method. The equivalent units and current period costs per equivalent unit of production for each cost factor are as follows for the finishing department:

Calculate the following amounts:

a) The cost of units transferred to finished goods inventory during May

b) Cost of the Finishing Department's work in process inventory in May

May

Units Work in process inventory, May 1 Transferred in from the assembly department Completed and transferred out to finished goods inventory 2,100 14,200 12,000 Transferred-in costs Raw materials Conversion costs Total Equivalent Units 15,100 15,100 13,350 Current Period Costs per Equivalent Unit $6.30 2.30 4.10 $12.70 2. The total costs of prior departments included in the work in process inventory of the Finishing Department on 1 August amounted to $6750. Prepare the journal entry to record the transfer of the goods from the Assembly Department to the Finishing Department during