Homework Answers
a) Equivalent unit of material = 90000+(30000*60%) = 108000
Equivalent unit of conversion = 90000+(30000*30%) = 99000
Cost per equivalent unit of material = 291600/108000 = 2.7
Cost per equivalent unit of conversion = 148500/99000 = 1.5
b) Cost of goods transferred out = (2.7+1.5)*90000 = 378000
c) Value of ending inventory = (18000*2.7+9000*1.5) = 62100
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