A. This answer uses a weighted average calculation for conversion costs.

B. This answer uses a weighted average calculation for materials.

C. This answer is the correct answer for the weighted average method.

D. In order to determine the cost of the units in EWIP, we need to multiply the EUP in ending WIP for materials and conversion costs by the cost per unit for each element. The number of EUP for materials in ending WIP is 21,600 and the cost per EUP of materials was $4.50 (this is calculated in the next paragraph). This gives a total of $97,200 of materials in EWIP. There were 9,600 EUP of conversion costs in EWIP and the cost per EUP was $5.83 (this is calculated in the last paragraph). This is a total of $55,968 of conversion costs in EWIP. Added together there is $153,168 in total costs in EWIP.

In order to calculate the cost per unit of materials under FIFO we simply divide the costs incurred for materials used this period by the EUP of materials for the period. The EUP for the materials was 104,000 and the cost for the period was $468,000 (we use the cost of the materials used in production). This gives a per unit cost for materials of $4.50.

In order to calculate the cost per unit of conversion costs under FIFO we simply divide the costs incurred for conversion costs this period by the EUP of conversion costs for the period. The EUP for the conversion costs was 98,400 and the cost for the period was $574,040 (we must add together the costs for direct labor and overhead). This gives a per unit cost for conversion costs of $5.83.