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Answer the Following Questions Using the Information Below:
Samantha's Office

question 7

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Answer the following questions using the information below:
Samantha's Office Supplies manufactures desk organizers in its Processing Department. Direct materials are included at the inception of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Inspection takes place as units are placed into production. After inspection, some units are spoiled due to nondetectible material defects. Spoiled units generally constitute 3% of the good units. Data provided for February 2015 are as follows:
 WIP, beginuing inventory 2/1/201551,000 units Direct materials ( 100% complete)  Conversion costs ( 50% complete)   Started during February 170,000 units  Completed and transferred out 180,000 units  WIP, ending inventory 2/28/201526,000 units Direct materials ( 100% complete)   Conversion costs ( 25% complete)  Costs:  WIP, beginning inventory:  Direct materials $280,000 Conversion costs 80,000 Direct materials added 408,000 Conversion costs added 264,000\begin{array} { l }\text { WIP, beginuing inventory } 2 / 1 / 2015&51,000 \text { units } \\ \text {Direct materials ( \( 100 \% \) complete) }\\ \text {Conversion costs ( \( 50 \% \) complete) }\\\\\text { Started during February } & 170,000 \text { units } \\\text { Completed and transferred out } & 180,000 \text { units } \\\\\text { WIP, ending inventory } 2 / 28 / 2015 & 26,000 \text { units }\\ \text {Direct materials ( \( 100 \% \) complete) }\\ \text { Conversion costs ( \( 25 \% \) complete) }\\\\\text { Costs: }\\\text { WIP, beginning inventory: }\\\text { Direct materials } & \$ 280,000 \\\text { Conversion costs } & 80,000 \\\text { Direct materials added } & 408,000 \\\text { Conversion costs added } & 264,000\end{array}

-What costs are allocated to the ending work-in-process inventory for direct materials and conversion costs,respectively,using the FIFO method of process costing?


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