Q1.Assume that Fancy Flatware uses process costing. How may equivalent units exist in direct materials?

Q2.How many equivalent units exist in conversion costs?

Q3.What is the unit cost of direct materials?

Q4.What is the unit cost of conversion costs?

Q5.What dollar value should remain in work-in-process (shaping) at the end of the month?

Fancy Flatware Fancy Flatware mass produces stainless steel knives, forks, and spoons. The production of the flatware requires two key processes, shaping and polishing. The following transactions took place in the shaping department during the month of August+ AUG 1st - Steel was purchased from a supplier. The total cost was $20,000 roughly enough to produce 25,000 utensils. This amount was transferred to the Work-in-process (shaping) account AUG 12th- Payroll was run for the shaping department. The total payout for the department was $35,000. This amount relates directly to utensil shaping and was charged to Work-in-process (shaping) AUG 20th - Factory overhead was allocated to the shaping department based on the pre- determined overhead rate. As a result, $9,000 was charged to Work-in-process (shaping) AUG 29th - 18,000 utensils have been shaped and transferred to the finishing department. The associated costs were transferred from Work-in-process (shaping) to Work-in-process (finishing). 7,000 of the utensils remain in shaping, only 30% finished