4. P&G Company manufactures a single product and uses process costing. During the month of July, the company began production with 10,000 units in the beginning work in process inventory, incurred $150,000 of direct materials costs, $100,000 of direct labor costs, and $120,000 of factory overhead costs. By the end of July, 5,000 additional units were started and completed, while 3,000 units remained in ending work in process inventory, which was 40% complete as to conversion costs. Calculate the equivalent units of production for direct materials and conversion costs, and then prepare a cost of production report for the month of July. Discuss how process costing facilitates the calculation of equivalent units and the assignment of costs to units completed and ending work in process inventory.