Compute the cost per equivalent unit of input resource

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Reference no: EM132514325

Badgersize Company has the following information for its Forming Department 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 50,000

Units started during August 50,000

Units completed and transferred in August 57,000

Work in process (70% complete), August 31 ?

Costs charged to Work in Process in August

Direct Materials $137,000

Conversion costs:

Direct labor $ 121,000

Overhead applied 142,000

Total conversion $263,000

Assume materials are added at the start of processing.

Required:

Question a. Calculate the equivalent units for the Forming Department for the month of August.

Question b. Find the cost per equivalent unit of input resource. (Round your answers to 2 decimal places.)

Reference no: EM132514325

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