Badgersize Company has the following information for its FormingDepartment for the month of August.
| | | |
| Work in Process Inventory,August 1: 20,000 units | | | |
| Direct materials: 100%complete | $ | 80,000 | |
| Conversion: 20% complete | | 24,000 | |
| Balance in work in process,August 1 | $ | 104,000 | |
| Units started during August | | 54,000 | |
| Units completed and transferredin August | | 56,000 | |
| Work in process (70% complete),August 31 | | ? | |
| Costs charged to Work in Processin August | | | |
| Direct materials | $ | 165,000 | |
| Conversion costs: | | | |
| Direct labor | $ | 115,000 | |
| Overhead applied | | 144,000 | |
| Total conversion | $ | 259,000 | |
|
Assume materials are added at the start of processing.
Required:
a. Calculate the equivalent units for theForming Department for the month of August.
b. Find the cost per equivalent unit of inputresource. (Round your answers to 2 decimalplaces.)
