The Clarke Chemical Company produces a special kind of body oil that is widely used by professional sports trainers. The oil is produced in three processes: Refining, Blending, and Mixing. Raw oil materials are introduced at the beginning of the refining process. A "mountain-air scent" material is added in the blending process when processing is 50% completed. The following Work-in-Process account for the Refining Department is available for the month of July. The July 1 Work-in-Process Inventory contains $1,500 in material costs.

Work -in-Process: Refining

The Clarke Chemical Company uses weighted-average costing. Required (use 4 decimal places for computations): (a) Compute the equivalent units of production for Refining for July. (b) Compute the material cost per unit and the conversion cost per unit for July. (c) Compute the costs transferred to the Blending Department for July. (d) Compute the July 31 Work-in-Process Inventory balance.

Beginning balance (5,000 gal, 80% complete) Materials (30,000 gal.) Direct labor Overhead Ending balance (6,000 gal., 2/3 complete) $6,500 12,300 14,500 21,750