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Say So Inc. produces Flavored tea leaves and start their production at Teabag Folding Department before Stapling Department. The management choose FIFO method as

Say So Inc. produces Flavored tea leaves and start their production at Teabag Folding Department before Stapling Department. The management choose FIFO method as their process costing method in the company. They have their beginning inventory for the recent activity is 1,000 units with respect of completion are: 60% for Direct Material and 40% for the Conversion Cost. The units that started during the current period are 4,500 with ending inventory 500. They transferred 5,000 units teabag to Stapling Department. Along with all inventories, they also have their own cost that occur in the production are cost from beginning Work In Process inventory (WIP) and cost added during the current period: Materials Labor Overhead Cost From Beginning Inventory - WIP $1,500 $1,950 Cost added during the period $7,640 $5,640 Required: Calculate Say So Inc.'s Cost per unit for their teabag and give your explanation! $1,230 $6,720

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