Stallone Corporation manufactures a product that requires two processes: Forming and Finishing. The company uses a process cost accounting system to accumulate costs and allocate these costs to ending work in process inventory and finished goods inventory. The products first go through the Forming Department and, when completed there, are then transferred to the Finishing Department. Once they are completed in the Finishing Department, they are sent to Finished Goods Inventory. The attached information is available for the year ending December 31, 20X2. There was no spoilage or other losses in the manufacturing process during the year.

REQUIRED: Compute the following, using the attached schedules provided. (1) Equivalent units for the Forming Department, assuming that this department uses the average cost flow assumption for process costing. (2) Equivalent units for the Finishing Department, assuming that this department uses the FIFO cost flow assumption for process costing.

STALLONE CORPORATION DATA FOR PROCESS COSTING DEPARTMENTS FOR YEAR ENDING DECEMBER 31, 20X2 Forming Department Finishing Department Beginning Work in Process Inventory: Units in Process 5,000 (75% complete as to direct materials) (40% complete as to conversion costs) Units in Process 6,500 (30% complete as to direct materials) (60% complete as to conversion costs) Units Started During the Period Units Transferred In During the Period Units Completed During the Period Ending Work in Process Inventory: 45,000 47,500 47,500 Units in Process (80% complete as to direct materials) (60% complete as to conversion costs) Units in Process 8,000 (30% complete as to direct materials) (60% complete as to conversion costs)