Exercise 6-57 (Appendix 6A) First-In, First-Out Method; Unit Cost; Valuing Inventories Loren Inc. manufactures products that pass through two or more processes. During April, equivalent units were computed using the FIFO method:

Units started and completed 4,600 Units in BWIP × Fraction to complete (60%) 840 Units in EWIP × Fraction complete (4,000 × 60%) 2,400 Equivalent units of output (FIFO) 7,840 April’s costs to account for are as follows:

BWIP (40% complete) $ 1,120 Materials 10,000 Conversion cost 4,000 Total $15,120 Required:

1. Calculate the unit cost for April using the FIFO method. (Note: Round to two decimal places.)

2. Using the FIFO method, determine the cost of EWIP and the cost of the goods transferred out.