Problem:
Latrec Ltd. uses a process costing system and reported an opening work in process inventory of 8,500 physical units (65% complete with respect to conversion). During the period 12,500 units were started. Ending work in process inventory was 50% complete for conversion with 4,000 physical units. All direct materials are added at the beginning of the process. Costs for the month include beginning work in process inventory of $20,450 for direct materials and $24,800 for conversion. Costs added during the current period were $52,000 for direct materials and $34,490 for conversion. Assuming a weighted average system, what dollar value would be reported as total Ending Inventory? Round all equivalent unit costs to four decimal places.
a. $13,536
b. $20,041
c. $26,282
d. $22,600
e. $28,303