First-In, First-Out Method; Equivalent Units

Aztec Inc. produces soft drinks. Mixing is the first department, and its output is measured in gallons. Aztec uses the FIFO method. All manufacturing costs are added uniformly. For July, the mixing department provided the following information:

Production:
Units in process, July 1, 80% complete		40,000 gallons
Units completed and transferred out		260,000 gallons
Units in process, July 31, 75% complete		16,000 gallons
Costs:
Work in process, July 1		$ 64,000
Costs added during July		520,000

Required:

1. Calculate the equivalent units for July.

2. Calculate the unit cost. Round your answer to the nearest cent.

3. Assign costs to units transferred out and EWIP using the FIFO method. Note: Do not round interim computations.

Cost of units transferred out
Ending work in process