1. The Refining Department of Crystal Cane Sugar, Inc. had 65,000 tons of sugar to account for in December. Of the 65,000 tons, 45,000 tons were completed and transferred to the Boiling Department, and the remaining 20,000 tons were 70% complete. The materials required for production are added at the beginning of the process. Conversion costs are added equally throughout the refining process. The weightedaverage method is used. Calculate the total equivalent units of production for conversion costs.

2.

Aqua Primavera, Inc. has provided the following information for the year:

Units produced	8,000	units
Sales price	$300	per unit
Direct materials	$45	per unit
Direct labor	$25	per unit
Variable manufacturing overhead	$65	per unit
Fixed manufacturing overhead	$500,000	per year
Variable selling and administration costs	$80	per unit
Fixed selling and administration costs	$230,000	per year

What is the unit product cost using variable costing?