Process Costing and Inventory Valuation at General Motors

Requirements:

• Apply process costing to calculate the cost per equivalent unit for General Motors' assembly line process, where total costs are $500,000 and equivalent units produced are 10,000.
• Prepare a production cost report showing the cost assigned to completed units and units in ending work in process.
• Analyze the impact of using FIFO and weighted average methods on General Motors' inventory valuation and cost of goods sold.
• Recommend the most appropriate inventory costing method for General Motors based on the analysis.