Everglades Furniture uses a process cost system to account for its chair factory.Beginning inventory consisted of 5,000 units (100% complete as to material,55% complete as to labor)with a cost of $124,800 materials and $104,500 conversion.58,000 units were started into production during the month with material costs of $1,537,000 and $2,124,375 of conversion costs.The ending inventory of 6,000 chairs was 100% complete as to materials and 40% complete as to labor.Everglades uses first-in,first-out (FIFO)costing.Required:
(HINT: use 4 decimal places in your calculations)
a.Compute the equivalent units of production for each input.b.Compute the cost per unit.c.Compute the cost transferred out to finished goods.d.Compute the ending work-in-process inventory balance.

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The Answer of Everglades Furniture uses a process cost system to account for its chair factory.Beginning inventory consisted of 5,000 units (100% complete as to material,55% complete as to labor)with a cost of $124,800 materials and $104,500 conversion.58,000 units were started into production during the month with material costs of $1,537,000 and $2,124,375 of conversion costs.The ending inventory of 6,000 chairs was 100% complete as to materials and 40% complete as to labor.Everglades uses first-in,first-out (FIFO)costing.Required:
(HINT: use 4 decimal places in your calculations)
a.Compute the equivalent units of production for each input.b.Compute the cost per unit.c.Compute the cost transferred out to finished goods.d.Compute the ending work-in-process inventory balance.

Everglades Furniture Uses a Process Cost System to Account for Its