You are getting ready to prepare the production cost report for the Assembly department of Wonderful Wooden Teeth Inc. for their first two months of operations January and February, 2012 In January, 500 units were started into production and 100 of these were still being worked on at the end of January, All materials are always requisitioned at the beginning of this process and 20% of the conversion costs already added to the ending WIP Inventory as of January 31. The Accounting Department tells you that January costs are $30,000 for materials and $10,500 for conversion costs. Prepare the production cost report for January: ($1.50/unit 40,000 - $3. #140,000 TP 500. $1.50 So In February, 600 units were started into production and 120 were still being worked on at the end of the month. This ending inventory has 40% of the conversion costs already added as of February 28. Jim in the Accounting Department tells you that the February costs are $34,600 for Materials and $12,060 for labor and overhead combined. Jim also tells you that you will certainly have round numbers for your unit costs when you prepare both production cost reports-he is psychic. Prepare the production cost report for February