During June, Herring Associates incurred total production costs of $40,000 for copy- CORNERSTONE 6-4 editing manuscripts and had the following equivalent units schedule:

Required:
1. Calculate the cost of copyediting one manuscript for June.
2. Assign costs to manuscripts completed and to EWIP and then do a cost reconciliation.
3. What if the costs assigned to tests completed and EWIP total were calculated using a unit cost of $250? What is the discrepancy between the costs assigned and the costs to account for? What could have caused an incorrect unit cost?LO1

Transcribed Image Text:

Units completed Units in EWIP x Fraction complete: 25 x 0.40 Equivalent units 190 10 200