In its first month of operations (May 2019), Holland Companys Department 1 incurred charges of $72,000 for direct materials (9,000 units), $38,700 for direct labor, and $13,950 for manufacturing overhead. At month end, 7,500 units had been finished and transferred out. Those remaining were finished with respect to material but only 40% finished with respect to conversion.

Assuming Holland uses the weighted average method and that materials are added at the beginning of the process and conversion occurs evenly, compute the following:

1. The equivalent units for material and conversion.

2. The cost per equivalent unit for material and conversion.

3. The total cost assigned to the units transferred out.

4. The total cost assigned to the ending inventory

   In its first month of operations (May 2019), Holland Companys Department 1 incurred charges of $72,000 for direct materials (9,000 units), $38,700 for direct labor, and $13,950 for manufacturing overhead. At month end, 7,500 units had been finished and transferred out. Those remaining were finished with respect to material but only 40% finished with respect to conversion.

   Assuming Holland uses the weighted average method and that materials are added at the beginning of the process and conversion occurs evenly, compute the following

5. The equivalent units for material and conversion.

6. The cost per equivalent unit for material and conversion.

7. The total cost assigned to the units transferred out.

8. The total cost assigned to the ending inventory