Cool Fizzy Ltd's division A produces soft drinks in standard sizes. Set out below is information for the month of January: 

Work-in-process inventory, 1 January 4,000 units

Direct materials: 100% complete $6,000

Conversion: 50% complete $12,000

Units started during January 8,000 units

Units completed and transferred out during January 8,000 units

Work-in-process inventory, 31 January

Direct materials: 100% complete

Conversion costs: 50%

complete Costs incurred during January

Direct materials $12,000

Conversion $128,000

Required: Show ALL your workings. Using the weighted average method complete the following.

(i) Calculate equivalent units of direct materials and conversion for the month of January. (4 marks)

(ii) Calculate direct material cost and conversion cost per equivalent unit for the month of January. (8 marks)

(iii)analysis of total costs showing the cost of goods completed and transferred out during January and cost of WIP inventory on 31 January, as per Exhibit 5.4 (p.192) of the textbook.