$1,875,000 $300,000 PROCESS COSTING QUESTION arnett Company uses process costing system in its production. The material costs were % complete and 55% conversion costs complete with respect to the 8,000 units in work in process at May 1. During May, 18,000 units were completed and transferred to the next department. The material costs ending work in process at May 31. An analysis of the costs relating to work in process at May 1 and to production activity for May follows: Additional 20,000 units were started during the month of May. were 40% complete and 70% conversion costs complete with respect to the Materials Conversion $25,000 80,000 $8,000 40,000 Work in process 5/1 Costs added during May Required: Assuming Barnett Company uses FIFO process costing system (6) Compute the equivalent units of production for materials and conversion costs, using FIFO process costing system. (ii) Compute the cost per unit for materials and conversion costs (iii) Compute the cost of goods completed and transferred to the next department, (ii) Compute the cost of work in process ending inventory