Eban Corporation uses the first-in, first-out method in its process costing system. The first processing department, the Welding Department, started the month with 21,000 units in its beginning work in process inventory that were 50% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $62,200. An additional 65,000 units were started into production during the month. There were 18,000 units in the ending work in process inventory of the Welding Department that were 20% complete with respect to conversion costs. A total of $304,160 in conversion costs were incurred in the department during the month.

The cost per equivalent unit for conversion costs is closest to:

Multiple Choice

$4.98

$4.51

$5.70

$5.07