Victory Company uses weighted average process costing. The company has two production processes. Conversion cost is added evenly throughout each process. Direct materials are added at the beginning of the first process. Additional information for the first process follows.

Required 

1. Compute equivalent units of production for both direct materials and conversion. 

2. Compute cost per equivalent unit of production for both direct materials and conversion. 

3. Assign costs to the department’s output—specifically, to the units transferred out and to the units in ending work in process inventory.

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Direct Materials Conversion Beginning work in process inventory Direct materials $ 420,000 Percent Percent Units Complete Complete Conversion.. 139,000 $ 559,000 Costs added this period Beginning work in process inventory .. 60,000 100% 80% Direct materials 2,220,000 Units started this period. 820,000 Conversion.. 3,254,000 5,474,000 Units completed and transferred out... Ending work in process inventory.... 700,000 Total costs to account for. $6,033,000 180,000 100% 30%