Reagan Company produces hinges. Completed hinges are inspected at the end of production. Any spoilage in excess of 2 percent of the completed units is considered abnormal. Material is added at the start of production. Labor and overhead are incurred evenly throughout production.
Reagan's May 2001 production and cost data follow:
$$
\begin{array}{lr}
\text { Beginning inventory ( } 50 \% \text { complete) } & 5,600 \\
\text { Units started } & 74,400 \\
\text { Good units completed } & 70,000 \\
\text { Ending inventory ( } 1 / 3 \text { complete) } & 7,500
\end{array}
$$
$$
\begin{array}{|c|c|c|c|}
\hline & \text { Material } & \text { Conversion } & \text { Total } \\
\hline \text { Beginning inventory } & \$ 6,400 & \text { \$ } 1,232 & \text { \$ } 7,632 \\
\hline \text { Current period } & 74,400 & 31,768 & 106,168 \\
\hline \text { Total } & \frac{14,700}{\$ 80,800} & \$ 33,000 & \$ 113,800 \\
\hline
\end{array}
$$
Galculate the equivalent units schedule, prepare a FIFO cost of production report, and assign all costs.