18-36. WEIGHTED-AVERAGE METHOD. Hoffman Company manufactures car seats in its Boise plant. Each car seat passes through the assembly department and the testing department. This problem focuses on the assembly department. The process-costing system at Hoffman Company has a single direct-cost category direct materials) and a single indirect-cost category (conversion costs). Direct materials are added at the beginning of the process. Conversion costs are added evenly during the process. When the assembly department finishes work on each car seat, it is immediately transferred to testing. Hoffman Company uses the weighted-average method of process costing. Data for the assembly department for October 2020 are as follows: 747 Direct Materials $1,248,000 Conversion Costs S 241,650 Physical Units (Car Seats) Work in process, October 1" 4,000 Started during October 2020 22,500 Completed during October 2020 26,000 Work in process, October 31 500 Total costs added during October 2020 Degree of completion direct materials,7%; conversion costs, 45%. Degree of completion direct materials,7%; conversion costs, 65% $4,635,000 $2,575,125 Required 1. For each cost category, compute equivalent units in the assembly department. Show physical units in the first column of your schedule. 2. What issues should the manager focus on when reviewing the equivalent-unit calculations? 3. For each cost category, summarize total assembly department costs for October 2020 and calculate cost per equivalent unit. 4. Assign costs to units completed and transferred out and to units in ending work in process