TCO 3) James Company uses process costing to track its costs in two sequential production departments: Forming and Finishing. The following information is provided regarding the Forming Department:

Forming Department

Month Ended June 30

Unit information

Beginning work in process, June 1 --- 4,000

Started into production during June --- 22,000

Completed and transferred to Finished Department during June --- 20,000

Ending work in process, June 30 (20% complete as to direct materials and 50% complete as to conversion costs) --- 6,000

Cost information:

Beginning work in process as of June 1 consists of $1,000 of direct materials costs and $4,500 of conversion costs --- $5,500

Direct materials used in June --- $7,268

Conversion costs incurred in June --- $32,990

Required:

(a) Calculate the equivalent units for direct materials. (Show your work)

(b) Calculate the cost per equivalent unit for direct materials. (Show your work) (Points : 30)