Carolwood Company manufactures widgets and uses process costing. The status of their beginning and ending inventory is as follows:

Beginning Inventory	30% of the manufacturing process is complete.
Ending Inventory	55% of the manufacturing process is complete.

Direct materials are added to the manufacturing process in stages. None are added when production begins. Approximately 1/2 of the materials are added when the product is 25% complete. The other half is added when the product is 50% complete.

What percentage complete are Beginning Inventory and Ending Inventory with respect to Direct materials(DM) and Conversion Costs(CC)?

a.

Beg.Inventory DM-30% CC-30% End.Inventory DM-55% CC-55%

b.

Beg.Inventory DM-50% CC-30% End.Inventory DM-55% CC-55%

c.

Beg.Inventory DM-50% CC-70% End.Inventory DM-100% CC-45%

d.

Beg.Inventory DM-50% CC-30% End.Inventory DM-100% CC-55%