PAST YEAR QUESTION Semester A182 - Q2B Cure Son Bhd (CSB) is a biotech company based in Kedah. It makes a cancer-treatment drug in a single processing department. Direct materials are added at the start of the process. Conversion costs are added evenly during the process. The following information for July 2018 is available. Equivalent Units Physical Direct Conversion Units Materials Costs Work in process, July 1 8,700a 8,700 2, 175 Started during July 34,500 Completed and transferred out during July 32,000 32,000 32,000 Work in process, July 31 11,200b ? ? aDegree of completion: direct materials, 100%; conversion costs, 25% b Degree of completion: direct materials, 100%; conversion costs, 70%. Total Costs for July 2018 (in RM) Work in process, beginning Direct materials 61,500 Conversion costs 43,200 104,700 Direct materials added during July 301,380 Conversion costs added during July 498,624 Total costs to account for 904,704 REQUIRED: (a) Calculate the cost per equivalent unit for direct materials and conversion costs based on First In-First Out (FIFO) method of process costing. Show all workings. ( b ) CSB's management seeks to have a more consistent cost per equivalent unit. Explain which method of process costing should the company choose