Muwail Corporalen wes recently formed to produce a semconduror chip that forms an esaential part of the personal camputer manufactured by a major corporation The direct materials are added at the stam of the production process nig conversion

costs are added unformly throughout the production pracess. The beginning inventory of work in process consisted of 75,000 chips which were 80% complete far conversion costs The beginning work in process had consumed 95.500$ of direct materials

and 1,200,000 of conversion cost. Direct malarials cost for the month totaled $935 000, while conversion costs equaled $4, 552.000. Accounting records indicate that 475,000 chips were started in June and 425.000 chips were completed

Ending inventory was 60% complete as to conversion Costs

Required :

Compute the cast per unit far both direct materials and conversion costs assuming the first in first out method is used.

TIPO B TV Ae 2 11