PROBLEM 3-1. Comprehensive Problem, One Department [LO 3, 4] Regal Polish manufactures a single product in one department and uses a process costing...

PROBLEM 3-1. Comprehensive Problem, One Department [LO 3, 4] Regal Polish manufacturesa single product in one department and uses a process costing system. At the start of May,there were 11,000 units in process that were 100 percent complete with respect to direct materialand 60 percent complete with respect to conversion costs (labor and overhead). During themonth, the company began production of 105,000 units. Ending Work in Process inventory consistedof 5,100 units that were 100 percent complete with respect to material and 70 percent completewith respect to conversion costs.

Cost Information Beginning                               Work in Process                                 Costs Added in MayDirect material                                                                $4,000                                                 $76,500Direct labor                                                                          200                                                      8,880Manufacturing overhead                                                  300                                                      9,915Total                                                                                    $4,500                                                $95,295

Required(a) Calculate the cost per equivalent unit for each of the three cost items and in total. Round to 3 decimal places.

(b) Calculate the cost of items completed in May and the cost of ending Work in Process. Round to 2 decimal places.

(c) Reconcile the sum of the two costs in part b to the sum of beginning Work in Process and costs added in May.