Holiday Company manufactures basketballs and soccer balls. For both products, materials are added at the beginning of the production process and conversion costs are incurred uniformly. Holiday uses the FIFO method to compute equivalent units. Production and cost data for the month of August are shown below.

Production Data—Basketballs Units Complete Work in process units, August 1 500 60%
Units started into production 2,000 Work in process units, August 31 600 50%
Cost Data—Basketballs Work in process, August 1 $1,125 Direct materials 1,600 Direct labor 1,280 Manufacturing overhead 1,000 Percent Production Data—Soccer Balls Units Complete Work in process units, August 1 200 80%
Units started into production 2,000 Work in process units, August 31 150 70%
Cost Data—Soccer Balls Work in process, August 1 $ 450 Direct materials 2,800 Direct labor 1,000 Manufacturing overhead 1,394 Instructions

(a) Calculate the following for both the basketballs and the soccer balls.
(1) The equivalent units of production for materials and conversion costs.
(2) The unit costs of production for materials and conversion costs.
(3) The assignment of costs to units transferred out and in process at the end of the accounting period.

(b) Prepare a production cost report for the month of August for the basketballs only.