You are employed by Spirit Company, a manufacturer of digital watches. The company's chief financial officer is trying to verify the accuracy of the ending work-in-process and finished goods inventories prior to closing the books for the year. You have been asked to assist in this verification. The year-end balances shown on Spirit Company's books are as follows: WIP, Dec 31(50% complete as to labour and overhead) 250 000 units and $660 960 costs Finished goods, Dec 31 150 000 units and $1 009 800 costs Materials are added to production at the beginning of the manufacturing process, and overhead is applied to each product at the rate of 60% of direct labour cost. There was no finished goods inventory at the beginning of the year. A review of Spirit Company's inventory and cost records has disclosed the following data, all of which are accurate: WIP, Jan 1 (80% complete as to labour and overhead) 100 000 units, $200 000 materials costs and $315 000 labour costs units started into production 900 000 costs added during the year: material cost $1 300 000 labour cost $1 995 000 units completed during the year 750 000 The company uses the weighted-average cost method. Required: Determine the equivalent units and costs per equivalent unit for materials, labour, and overhead for the year. Determine the amount of cost that should be assigned to the ending work-in-process and finished goods inventories. Prepare the necessary correcting journal entry to adjust the work-in-process and finished goods inventories to the correct balances as of December 31. Determine the cost of goods sold for the year assuming there is no under- or over-applied overhead.