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Pureform, Inc., uses the FIFO method in its process costing system. It manufactures a product that passes through two departm

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Answer #1
Units
Units transferred out 600000
(-) Work in process inevntory, beginning 61000
Units started and completed 539000
Required 1 :
Materials Labor Overhead
Units started and completed during the period 539000 539000 539000
(+) Beginning work in process completed during the period [ Beginning work in process units * ( 100% - % Completion ) ] 18300 27450 27450
(+) Ending work in process completed during the period [ Ending work in process units * % Completion ] 20000 12000 12000
Equivalent units of production 577300 578450 578450
Required 2 :
Materials Labor Overhead
Cost added during the month 894815 289225 347070
(/) Equivalent units of production 577300 578450 578450
Cost per equivalent unit 1.55 0.50 0.60
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