Costs per Equivalent Unit and Production Costs

The following information concerns production in the Forging Department for November. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $9,000 of direct materials.

ACCOUNT Work in ProcessForging Department	ACCOUNT NO.
Date	Item	Debit	Credit	Balance
Debit	Credit
Nov.	1	Bal., 900 units, 60% completed			10,566
	30	Direct materials, 12,900 units	123,840			134,406
	30	Direct labor	21,650			156,056
	30	Factory overhead	16,870				172,926
	30	Goods transferred, ? units		?		?
	30	Bal., 1,400 units, 70% completed			?

Cost per equivalent units of $9.60 for Direct Materials and $3.00 for Conversion Costs.

Based on the above data, determine each of the following amounts.

If required, round your interim calculations to two decimal places. Round final answers (a-c) to the nearest dollar.

a. Cost of beginning work in process inventory completed in November.

b. Cost of units transferred to the next department during November.

c. Cost of ending work in process inventory on November 30.

d. Costs per equivalent unit of direct materials and conversion included in the November 1 beginning work in process. If required, round your answers to two decimal places.

Direct materials cost per equivalent unit	$
Conversion cost per equivalent unit	$

e. The November increase or decrease in costs per equivalent unit for direct materials and conversion from the previous month. If required, round your answers to two decimal places.

	Increase or Decrease	Amount
Change in direct materials cost per equivalent unit		$
Change in conversion cost per equivalent unit		$