Work in Process beginning:

Units in process 22,000

Stage of completion for materials 55%

Stage of completion for labor and overhead 25%

Costs in work process inventory:

Materials $168,360

Labor 67,564

Overhead 17,270

Total costs in beginning work in process $ 253,194

Units started into production in January 60,000

Units completed and transferred in January 58,000

Costs added to production:

Materials $264,940

Labor 289,468

Overhead 60,578

Total Costs added into production in January $614,986

Work in process ending:

Units in process 24,000

Stage of completion for materials 50%

Stage of completion for labor and overhead 35%

Because most of the manufactured ping-pong ball products are made to detailed specifications and are mass produced in the a continuous fashion, CSW handles the majority of its manufacturing using a process costing system. CSW uses two departments to manufacture ping-pong balls: 1) Heating and Modeling Department and 2) Fishing Department. All items start out in the heating and modeling department where celluloid thermoplastic is melted and placed in a metal ball where it is frozen. A needle is inserted to leave a small hole in the ping-pong skin before freezing