QUESTION 37

1. (35) True Company uses the First-In First-Out method of process costing. The following information is given for the company's Milling Department:

   	units	% complete for Materials	% complete for Conversion		Costs incurred
   Beginning Work in process	200	30%	40%			Materials	Conversion
   Units started	500				Beginning Work in process	$1,500	$1,600
   Units completed	600
   Ending Work in process	100	20%	50%		During Current Period	$13,440	$17,100

   The following additional information is given:

   *Cost per equivalent unit for Material: $24

   *Cost per equivalent unit for Conversion: $30

   Based on the FIFO method, the cost of 600 complete units is:

   	A.	$21,600
   	B.	$25,330
   	C.	$31,660
   	D.	$28,560