The Cuckoo Clock Shop manufactures clocks on a highly automated assembly line. Its costing system uses two cost categories, direct materials and conversion costs. Each product must pass through the Assembly Department and the Testing Department. Direct materials are added at the beginning of the production process. Conversion costs are allocated evenly throughout production.

Conversion costs added during June$500,000Required: Prepare a production cost worksheet using the FIFO method to determine the flow of physical units and equivalent units for June. (First 2 steps)

250 units Data for the Assembly Department for June 2019 are: Work in process, beginning inventory Direct materials (100% complete) Conversion costs (50% complete) 800 units 150 units Units started during June Work in process, ending inventory: Direct materials (100% complete) Conversion costs (75% complete) Costs for June 2019: Work in process, beginning inventory: Direct materials Conversion costs Direct materials costs added during June Conversion costs added during June $90,000 $135,000 $500,000 $500,000