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A department uses the FIFO method of process costing. All direct materials are added at the beginning of the process. This department has the following
A department uses the FIFO method of process costing. All direct materials are added at the beginning of the process. This department has the following data for this month.
- 114 units in beginning WIP (31% complete with respect to conversion costs).
- 8,068 units started
- 198 units in ending WIP (27% complete with respect to conversion costs).
- $1,781 beginning WIP direct materials costs
- $2,377 beginning WIP conversion costs
- $100,870 current month direct materials costs
- $104,747 current month conversion costs
What is the department's direct material cost per equivalent unit for this month (round final answer to nearest cent if necessary)?
Please explain
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