Final answer:
The total cost assignable to the ending work in process inventory for Largo Company is $55,000, calculated by adding the fully complete materials cost ($25,000) to the 40% complete conversion costs ($30,000).
Step-by-step explanation:
To determine the total cost assignable to the ending work in process inventory for Largo Company, we need to consider the cost of materials and conversion costs in relation to the percentage completion of the units.
The materials cost per unit is $10, and these are fully complete for all 2,500 units. Hence, for materials, the total cost is 2,500 units × $10 = $25,000. For conversion costs, which include costs such as labor and overhead, each unit has a cost of $30. Since the ending work in process is 40% complete as to conversion costs, we calculate 40% of $30 for each of the 2,500 units, which is $12 per unit. The total conversion cost for the unfinished goods is then 2,500 units × $12 = $30,000. Adding both materials and conversion costs gives us $25,000 + $30,000 = $55,000, which is the total cost assignable to the ending work in process inventory.