15 Mar Bubba Production Company produces a homogenous pro
Bubba Production Company produces a homogenous product. All materials are added at the beginning of production and other product costs are added evenly over time until the product is complete. Conversion costs were 70% complete with respect to the 2,000 units in process July 1, 2009, and 60% complete with respect to the 4,000 units in process on July 31. Materials cost in the beginning work in progress inventory were $12,000 and materials costing $40,000 were added during the month. Conversion cost in the beginning work in progress inventory was $8,000 and conversion costs of $36,000 were added during the month. 10,000 units were completed during the month. Please answer the following questions, and show your work. Do not round intermediate calculations, or there will be a $40 rounding error. What is the cost per equivalent unit for the units produced during the month? $__________ What is the cost of the ending inventory of work in progress? $__________ What is the cost of goods manufactured? $__________
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