3) The Phoenix Nut Corporation was recently formed to produce a brass nut that forms an essential part of a compressor manufactured by a major corporation. The direct materials are added at the start of the production process while conversion costs are added uniformly throughout the production process. September is Phoenix's first month of operations, and therefore, there was no beginning inventory. Direct materials cost for the month totaled $2,800,000, while conversion costs equaled $3,600,000. Accounting records indicate that 1,600,000 valves were started in September and 1,400,000 nuts were completed. Ending inventory was 20% complete as to conversion costs.

a. What is the total manufacturing cost per nut for September? b. Allocate the total costs between the completed nuts and the nuts in ending inventory.