Cost per EU = cost/equivalent units 4. Ebis Corporation uses the FIFO method in its process costing system. The first processing department, the Welding Department, started the month with 13,000 units in its beginning work in process inventory that were 10% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $12,610. An additional 89,000 units were started into production during the month. There were 22,000 units in the ending work in process inventory of the Welding Department that were 30% complete with respect to conversion costs. A total of $806,085 in conversion costs were incurred in the department during the month. The cost per equivalent unit for conversion costs is closest to: [4A-24 15] B. $9.700 O D. $9.450 HINTS equivalent units = work to complete beginning inventory (100%-10%) x 13000 + units started and completed at 100% + work in ending inventory (30% x 22000) Units completed and transferred out = 89000 started - (increase in inventory) = 89000 - (22000 - won13000) = 80000 Of which, 13000 were in beginning inventory so the remaining 67000 were started and completed and count 100% Applicable cost = $806,085 (the cost in beginning inventory is not used) Cost per EU = cost/equivalent units