Refer to the information in exercise 8.17.

Required

Using the FIFO method, prepare a schedule calculating the cost per equivalent unit for December.

Exercise 8.17.

Fox and Sons is a toy maker that produces Flying Flingbats, a soft foam rubber boomerang. All direct materials are added at the beginning of production, and conversion costs are incurred evenly throughout production. Conversion was 75 per cent complete for the 8000 units in WIP on 1 December and 50 per cent complete for the 6000 units in WIP on 31 December. During the month, 12 000 Flingbats were completed and transferred out as finished goods. Following is a summary of the costs for the period:

Transcribed Image Text:

Direct materials Conversion costs Work in process, 1 December $19 200 $ 7200 Costs added in December 31 200 21 600