Exercise 1) Woolly-Woolly Co. is a producer of woolen yarn made from wool imported from other countries. Raw wool is processed, spun, and finished before being shipped out to knitting and weaving companies. Material is added in the beginning of processing and conversion costs are added evenly throughout processing. Woolly-Woolly began the month of March with 5,000 units in process that were 100 percent complete as to materials and 55 percent complete as to labor and overhead. They started 23,000 units into production during the month of which 6,000 remained in ending work in process inventory and were 100 percent complete as to materials and 60 percent complete as to conversion costs. The cost data are as follows: Beginning work in process: Direct materials Direct labor Manufacturing overhead Costs added during March: $ 4,000 $ 1,050 $ 1,450 Required: Direct materials Direct labor Manufacturing overhead $22,280 $ 9,990 $17,522 Prepare a production cost report (using the production cost template) for the month of March.