The cost of direct materials transferred into the Bottling Department of Rocky Springs Beverage Company is $22,800. The conversion costs for the period in the Bottling Department are $8,790. The total equivalent units for direct materials and conversion costs are as follows:

The beginning work in process inventory had a cost of $1,860.

a. Determine the cost per equivalent unit for: (1) direct materials and (2) conversion costs.

b. Determine the cost of units transferred out and the ending work in process inventory.

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Inventory in process, beginning of period Started and completed during the period Transferred out of Bottling (completed) Inventory in process, end of period Total units to be assigned costs Equivalent Units (in liters) Direct Materials Conversion 0 1,400 27,000 28,400 900 29,300 27,000 27,000 1,500 28,500