Norton Parts, Inc., manufactures fenders (plastic or metal, depending on the plant) for au¬

tomobiles. Each fender passes through three processes; Molding, Drilling, and Painting. In July, the Molding Department of the Detroit plant reported the following data:

a. In Molding, all materials are added at the beginning of the process.

b. Beginning work in process consisted of 3,000 units, 20% complete with respect to direct labor and overhead. Costs in beginning inventory included direct materials, $90,000;

and conversion costs, $27,600.

c. Costs added to production during the month were direct materials, $190,000; and con¬

version costs, $434,900.

d. At the end of the month, 9,000 units were transferred out to Drilling. Then 1,000 units remained in ending work in process, 25% complete.

Required:

1. Prepare a physical flow schedule.

2. Calculate equivalent units of production for direct materials and conversion cost.

3. Compute unit cost.

4. Calculate the cost of goods transferred to Drilling at the end of the month. Calculate the cost of ending Inventory.

5. Prepare the journal entry that transfers the goods from Molding to Drilling.