Knowledge Check 01

The cost of beginning work in process inventory plus the costs added to production during the period equals the _______.

• cost of ending work in process inventory

• cost of units transferred out

• total cost to be accounted for

• cost of units started during the period

Knowledge Check 02

A company has three processing departments: Mixing, Baking, and Packaging. The Baking Department transfers 500 units to the Packaging Department. How will the Packaging Department account for the costs of those 500 units?

• Finished goods

• Cost of input materials

• Costs transferred in

• Costs transferred out