Dance Like You Mean It, Inc. began operations on August 1st of this year. The company...

 

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Dance Like You Mean It, Inc. began operations on August 1st of this year. The company manufactures dance bags in three sequential production departments. During the month of August, 12,000 bags were started in department 1. Department 1 incurs product costs uniformly throughout its production process. At month end, 2,500 bags remained in process in department 1 and were assigned a cost of $30,000 on the department's production cost report. Management estimates that 60% more in costs need to be added to these bags in department 1 before then can be transferred to department 2. What was the cost of units completed and transferred to department 2 during August? A. $315,000 B. $360,000 C. $285,000 D. $114,000 O E. $190,000 Dance Like You Mean It, Inc. began operations on August 1st of this year. The company manufactures dance bags in three sequential production departments. During the month of August, 12,000 bags were started in department 1. Department 1 incurs product costs uniformly throughout its production process. At month end, 2,500 bags remained in process in department 1 and were assigned a cost of $30,000 on the department's production cost report. Management estimates that 60% more in costs need to be added to these bags in department 1 before then can be transferred to department 2. What was the cost of units completed and transferred to department 2 during August? A. $315,000 B. $360,000 C. $285,000 D. $114,000 O E. $190,000

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