Pureform, Inc., manufactures a product that passes through two departments. Data for a recent month for the first department follow:
|
Units |
Materials |
Labor |
Overhead |
| Work in process inventory, beginning |
97,000 |
$ |
101,200 |
$ |
54,300 |
$ |
69,600 |
| Units started in process |
918,000 |
|
|
|
|
|
|
| Units transferred out |
940,000 |
|
|
|
|
|
|
| Work in process inventory, ending |
75,000 |
|
|
|
|
|
|
| Cost added during the month |
|
$ |
1,674,620 |
$ |
850,465 |
$ |
995,225 |
|
|
The beginning work in process inventory was 90% complete with respect to materials and 75% complete with respect to labor and overhead. The ending work in process inventory was 70% complete with respect to materials and 50% complete with respect to labor and overhead.
|
| Required: |
| Assume that the company uses the FIFO method of accounting for units and costs. |
| 1. |
Compute the equivalent units for the month for the first processing department.
|
| 2. |
Determine the costs per equivalent unit for the month. (Round your answers to 2 decimal places.)
|