This scenario involves an altercation between Rene Alverez and Bill Sawyer and requires you to weigh in with calculations and comments on the matter.

Read the scenario on the attachment and complete the activity below.
-Compute the equivalent cost per unit, assuming the ending inventory is considered to be 40 percent complete.
-Compute the equivalent cost per unit, assuming the ending inventory is considered to be 60 percent complete.

Summarize the calculations and findings. Comment on Mr. Sawyer’s motives for establishing the percentage of completion at 60 percent rather than 40 percent.