Freeman Company began October with $30,000 in beginning work in process (2,000 units; 100% complete as to materials; 40% complete as to conversion costs). At the end of the month, the company's accountant determined that 59,000 units had been started and completed during October. In addition, he computed current costs per equivalent unit of $4.10 for materials and $7.85 for conversion. Production records at the end of the month showed 1,000 units remaining in process, 10% complete as to conversion and 100% complete with respect to materials.
Required:
Assuming that the company uses a FIFO process costing system:
i. Compute the cost of goods completed during the month and present the necessary journal entry
ii. What is the cost of ending work in process inventory?