PROBLEM 8

The following data for the month of September were taken form the cost records of Department 1 of Pro-Life products which uses process costing system:

Opening inventory of work in process:

Units - 500 (with all materials added and 50% of labor and overhead)

Cost -Materials2, 400

Labor1, 500

Factory overhead760

Put into production:

Units - 5, 000

Costs -Materials25, 100

Labor19, 380

Factory overhead14, 900

Completed and transferred - 4, 800 units

Ending inventory of work in process:

Units - 700 (with all materials, and 60% of labor and overhead)

1. The cost per equivalent unit (rounded to nearest centavo) under FIFO: (Add Cost per unit of materials and conversion)

2.The cost per equivalent unit (rounded to nearest centavo) under weighted average:Add Cost per unit of materials and conversion)