4. (12 points) Windham Corp. produces commercial chicken feed for laying hens. In the preparation department various grains and oyster shell are ground, blended, extruded to pellets, baked, and dried. The dried product is then sent to the packaging department for bagging. Windham uses a FIFO process costing system. All materials are added at the beginning of the process. Conversion costs are added evenly in the process. Data for the preparation department are as follows for May 2008: Beginning work-in-process inventory (40% complete) 10,000 pounds Value of work-in-process inventory on May 1 $4,000 Pounds of grain and shell mix added during the month 146,000 pounds Ending work-in process inventory (80% complete) 6,000 pounds Materials costs incurred in May $65,700 Conversion costs incurred in May $13,572 What is the value of an equivalent unit of production (materials and conversion costs)? What is the value of inventory transferred to finished goods? What is the value of ending inventory? (Hint: A unit of output is a pound of commercial chicken feed.)