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Hobart Beverage Company uses the weighted-average method in its process costing system. Materials are included at the start of the production process but conversion costs are uniformly applied throughout the production process. The following data about the Packaging Department were taken from the company's accounting records:
WIP 1 January 2016
Cost per equivalent unit
Direct Materials
$ 34,900
Materials
$2.45
Conversion costs
$ 41,500
Conversion
$3.15
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