4. Murray calculates the cost for an equivalent unit of production using process costing.

		Production Quantity	Production Cost
Beginning WIP Inventory, June 1
DM	100% complete		$10,000
DL	30% complete		1,060
OH	40% complete		1,620
Beginning WIP inventory, June 1		10,000 units	$12,680
Units started during June		40,000 units
Ending WIP Inventory, June 30
DM	100% complete
DL	50% complete
OH	20% complete
Ending WIP Inventory, June 30		8,000 units
Costs added during June
DM			$44,000
DL			$22,440
OH			$43,600
Total costs added during June			$110,040