Perrette Motor Company rebuilds automobile engines that have been damaged or are in need of extensive repair. The rebuilt engine
has a mile warranty and is purchased by auto shops, large motor pools in companies and governmental units, and some
individual auto owners. The plant in Dayton, Ohio, specializes in the Ford V engine. Approximately to engines are rebuilt
each month, and the costs of the plant are assigned to monthly production using weightedaverage process costing. The current
month began with a WorkinProcess Inventory of engines, which were complete for direct materials and complete for
conversion costs. The direct materials cost in beginning WorkinProcess was $ while the conversion cost was $ A total
of engines were completed and shipped out during the month, and total direct materials cost of $ and conversion cost of
$ were incurred during the month. The ending WorkinProcess of units was complete for direct materials and
complete for conversion costs.
Required:
Compute the cost per equivalent unit for direct materials and conversion for the month.
