Question 7. Builder products Ltd, uses the weighted-average method in its process costing system. It manufactures a caulking compound that goes through three processing stages prior to completion. Information on work in the first department, cooking is given below for May. Production data: Pounds in process, May 1, Materials 100% complete; Conversion 80% complete Pounds started into production during May Pounds started and transferred out Pounds in process, May 31, materials 60% complete Conversion 20% complete 10,000 100,000 ? 15000 Cost Data: Work in process inventory, May 1 Materials cost Conversion cost 1500 7200 Cost added during May Materials cost Conversion cost 154500 90800 Required: 1) Compute the equivalent units of production for materials and conversions for May (2 Marks) 2) Compute the cost per equivalent units for materials and conversion for May (2 Marks) 3) Compute the cost of ending work in process inventory for materials and conversions and in total for May (2 Marks) 4) Compute the cost of unit transferred out to the next department for materials, conversion and in total for May (2 Marks)