Direct Material 1 Direct Material 2 Conversion costs % Complete Physical units Total $ Equivalent units $ Equivalent units $ Equivalent units $ Beginning balance WIP 30% 3,000 $7,000 3,000 $6,000 - $0 900 $1,000 Units started (current costs) 9,000 $33,600 9,000 $12,800 12,000 $9,800 10,100 $11,000 Total to account for 12,000 $40,600 12,000 $18,800 12,000 $9,800 11,000 $12,000 Equivalent cost rates Units completed/Transferred out (COGM) 7,000 7,000 7,000 7,000 Ending balance WIP 80% 5,000 5,000 5,000 4,000 Total to account for 12,000 12,000 12,000 11,000 Above is a partially completed process costing template that you can also download in excel: Process Costing.xlsx

Download Process Costing.xlsx Assuming the company uses the FIFO method, calculate the equivalent cost rate of Direct Material 1 Enter your final answer to 2 decimal places.