A manufacturing company uses process costing. The company plant has one production

department. Direct materials are added at the start of production while conversion costs are

incurred evenly throughout production.

On June 1, all inventories have zero balances. During June, the company started production on

8,000 units. During the month, 6,000 units were completed while 2,000 units were in ending

work-in-process (20% complete regarding conversion effort). During June, the company

incurred direct material costs of $16,000 and conversion costs of $5,600

Required:

(1) Calculate cost per equivalent unit for the two cost pools (direct materials and conversion).

(2) Provide journal entry for completion of 6,000 units.

(3) Determine ending balance for work-in-process.