Equivalent Units and Cost per Equivalent UnitWeighted-Average Method

MacDonald Limited manufactures a product for which materials are added at the beginning of the manufacturing process. A review of the Company's inventory and cost records for the most recently completed year revealed the following information:

Units Materials Conversion Work in process, Jan. 1 80% complete with respect to conversion costs 100,000 $100,000 $157,500 Units started into production 500,000 Costs added during the year: Materials $650,000 Conversion $997,500 Units completed during the year 450,000