Multitute Inc., manufactures products that pass through two processes. The company uses the weighted average method to compute unit costs. During November, equivalent units were computed as follows:

	Materials	Conversion Cost
Units completed	50,000	50,000
Units in EWIP Fraction complete:
Materials (9,000 100%)	9,000
Conversion (9,000 80%)		7,200
Equivalent units of output	59,000	57,200

Cost was added as follows:

Materials	RM 73,750
Conversion cost	RM 57,200
Total cost	RM130,950

Required:

a. Calculate the cost of the goods transferred out.

b. Calculate the cost of ending work in process.

c. Explain the manufacturing environment in which process costing is suitable.