The following cost information is available for July for the Crest Plant at Calvert Company! Beginning work-in-process inventory Materials cost Conversion cost Total Current costs Materials cost Conversion cost Total . Materials are added at the beginning of the process. The following quantities have been recorded: Beginning inventory, 47,500 partially complete gallons, 20 percent complete with respect to conversion costs. • Units started in July, 87,500 gallons. • Units transferred out in July, 97,500 gallons. • Ending inventory, 37,500 gallons, 45 percent complete with respect to conversion costs. $ 63,500 42,500 $ 106,000 Direct Materials Conversion Costs $ 195,000 445,000 $ 640,000 Required: Compute the cost per equivalent unit for direct materials and for conversion costs for July using the FIFO method... Note: Round your answers to 2 decimal places. Cost per Equivalent Unit

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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5
The following cost information is available for July for the Crest Plant at Calvert Company:
Beginning work-in-process inventory
Materials cost
Conversion cost
Total
Current costs
Materials cost
Conversion cost
Total
•
Materials are added at the beginning of the process. The following quantities have been recorded:
Beginning inventory, 47,500 partially complete gallons, 20 percent complete with respect to conversion costs.
Units started in July, 87,500 gallons.
Units transferred out in July, 97,500 gallons.
Ending inventory, 37,500 gallons, 45 percent complete with respect to conversion costs.
$ 63,500
42,500
$ 106,000
Direct Materials
Conversion Costs
$ 195,000
445,000
$ 640,000
Required:
Compute the cost per equivalent unit for direct materials and for conversion costs for July using the FIFO method.
Note: Round your answers to 2 decimal places.
Cost per
Equivalent
Unit
Transcribed Image Text:5 The following cost information is available for July for the Crest Plant at Calvert Company: Beginning work-in-process inventory Materials cost Conversion cost Total Current costs Materials cost Conversion cost Total • Materials are added at the beginning of the process. The following quantities have been recorded: Beginning inventory, 47,500 partially complete gallons, 20 percent complete with respect to conversion costs. Units started in July, 87,500 gallons. Units transferred out in July, 97,500 gallons. Ending inventory, 37,500 gallons, 45 percent complete with respect to conversion costs. $ 63,500 42,500 $ 106,000 Direct Materials Conversion Costs $ 195,000 445,000 $ 640,000 Required: Compute the cost per equivalent unit for direct materials and for conversion costs for July using the FIFO method. Note: Round your answers to 2 decimal places. Cost per Equivalent Unit
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