Question: Assume for August that Faust Manufacturing has manufacturing costs equal to $80,000. During August, the cost incurred was $720,000. Using the FIFO method, Faust had

Assume for August that Faust Manufacturing has manufacturing costs equal to $80,000. During August, the cost incurred was $720,000. Using the FIFO method, Faust had 120,000 equivalent units for August. The cost per equivalent unit for August is
a. $6.12.
b. $6.50.
c. $5.60.
d. $6.67.
e. $6.00.

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