Global Defense is a manufacturer of military equipment. Its Santa Fe plant manufactures the Interceptor Missile under contract to the U.S. government and friendly countries. All Interceptors go through an identical manufacturing process. Every effort is made to ensure that all Interceptors are identical and meet many demanding performance specifications. The process-costing system at the Santa Fe plant has a single direct-cost category (direct materials) and a single indirect-cost category (conversion costs). Each Interceptor passes through two departments: the Assembly Department and the Testing Department. Direct materials are added at the beginning of the process in Assembly. Conversion costs are added evenly during the Assembly Departments process. When the Assembly Department finishes work on each Interceptor, it is immediately transferred to Testing.

Global Defense uses the FIFO method of process costing. Data for the Assembly Department for October 2007 are:

	Physical Units (Missiles)	Direct Materials	Conversion Costs
Work in process, October 1a	20	$ 460,000	$ 120,000
Completed during October 2007	90
Work in process, October 31b	10
Total costs added during October 2007		$ 2,000,000	$ 935,000
aDegree of Completion: direct materials, ?%; conversion costs, 60%.
bDegree of completion: direct materials, ?%; conversion costs, 70%.

Required

1. For each cost category, compute equivalent units in the Assembly Department.

2. For each cost category, calculate cost per equivalent unit.

3. Summarize total Assembly Department costs for October 2007, and assign total costs to units completed and transferred out and to units in ending work in process.