Holly Company has the following information for December 1 to December 31. All direct materials are 100% complete.

Work-in-Process Beginning balance December 310 units, 20% complete for conversion $ 38,750 Completed 910 units and transferred to finished goods inventory $149,240 Direct materials 83,700 Direct labor 52,700 Factory overhead Property taxes 8,200 Depreciation 37,500 Utilities 20,200 Indirect labor 6,200 Ending balance December 31, 410 units, 40% complete 42,230

Required: 1. Calculate equivalent units using the weighted-average and FIFO methods.

2. Use the given information to determine whether Holly Company is using the FIFO or weighted-average method. The beginning balance of WIP consists of $28,379 of direct materials and $10,371 of conversion costs. Weighted-average method FIFO method