17-39 Transferred-in costs, weighted-average method (related to 17-36–17-38). Larsen Company, as you know, is a manufacturer of car seats. Each car seat passes through the assembly department and testing department. This problem focuses on the testing department. Direct materials are added when the testing department process is 90 % complete. Conversion costs are added evenly during the testing department's process. As work in assembly is completed, each unit is immediately transferred to testing. As each unit is completed in testing, it is immediately transferred to Finished Goods. Larsen Company uses the weighted-average method of process costing. Data for the testing depart- ment for October 2017 are as follows: Physical Units Transferred- (Car Seats) Direct Conversion In Costs Materials Costs Work in process, October 1 Started during October 2017 Completed during October 2017 Work in process, October 31 Total costs added during October 2017 7,500 $2,932,500 $ 0 $ 835,460 ? 26,300 3,700 $7,717,500 $9,704,700 $3,955,900 Degree of completion: transferred-in costs,?%; direct materials,?%; conversion costs, 70%. "Degree of completion: transferred-in costs,?%; direct materials, ?%; conversion costs, 60%. ASSIGNMENT MATERIAL 73 1. What is the percentage of completion for (a) transferred-in costs and direct materials in beginning work-in-process inventory and (b) transferred-in costs and direct materials in ending work-in-process inventory? 2. For each cost category, compute equivalent units in the testing department. Show physical units in the Required first column of your schedule. 3. For each cost category, summarize total testing department costs for October 2017, calculate the cost per equivalent unit, and assign costs to units completed (and transferred out) and to units in ending work in process. 4. Prepare journal entries for October transfers from the assembly department to the testing department and from the testing department to Finished Goods. 17-40 Transferred-in costs, FIFO method (continuation of 17-39). Refer to the information in Problem 17-39. Suppose that Larsen Company uses the FIFO method inste ad of the weighted-average method in all of its depart- ments. The only changes to Problem 17-39 under the FIFO method are that total transferred-in costs of beginning work in process on October 1 are $2,800,000 (instead of $2,932,500) and that total transferred-in costs added dur- ing October are $7,735,250 (instead of $7,717,500). Using the FIFO process-costing method, complete Problem 17-39. Required