Help System Announcements CALCULATOR PRINTER VERSION BACK NEXT Question 3 Marigold Mortgage Company uses a process cost system to accumulate costs in its Application Department. When an application is completed, it is forwarded to the Loan Department for final processing. The following processing and cost data pertain to September 1. Applications in process on September 1, 200 2. Applications started in September, 900 3. Completed applications during September, 600 4. Applications still in process at September 30 were 100% complete as to materials (forms) and 60% complete as to conversion costs. Beginning WIP: Direct materials $1,150 Conversion costs 4,960 September costs: Direct materials $4,860 Direct labor 12,600 Overhead 7,326 Y Materials are the forms used in the application process, and these costs are incurred at the beginnin process. Conversion costs are incurred uniformly during the process. Marigold Mortgage Company uses the FIFO method. Also, assume that the applications in process on September 1 were 100% complete as to materials (application forms) and 40% complete as to conversion costs. Determine the equivalent units of service (production) for materials and conversion costs. Materials Conversion Costs The equivalent units of service production) Compute the unit costs. (Round unit costs to 2 decimal places, eg. 2.25.) Materials Conversion Costs Unt costs