(Cost assignment; FIFO) Green Seasons Processors is a contract manufacturer for the Delectable Dressing Company. Green Seasons uses a FIFO process costing system to account for the production of its salad dressing. All ingredients are added at the start of the process. Delectable provides reusable vats to Green Seasons for the completed product to be shipped to Delectable for bottling so Green Seasons incurs no packaging costs. April 2001 production and cost information for Green Seasons Processors is as follows:
Gallons of dressing in beginning inventory
Gallons transferred out during April
Gallons of dressing in ending inventory
Costs of beginning inventory:
Costs incurred in April:
The beginning and ending inventories had the following degrees of completion each for labor and overhead:
a.How many gallons of dressing ingredients were started in April?
b.What is the total cost of the completed beginning inventory?
c.What is the total cost of goods completed during April?
d.What is the average cost per gallon of all goods completed during April?
e.What is the cost of April’s ending WIP inventory?