Springfield Springmakers, Inc. use process costing to determine the cost of inventory. It uses the weighted average method. The firm has the following inventory amounts.

	Direct Materials	Conversion Costs
BWIP physical units (March 1)	0	0
Units completed in March	500	500
EWIP physical units (March 31)	50	50
EWIP percent completion	25%	50%

In March the firm incurred $50,000 in direct material costs and $75,000 in conversion costs.

Which of the following shows the total equivalent units for direct materials and conversion costs?

Answers:	a. Direct Materials: 550 equivalent units Conversion Costs: 525 equivalent units
	b. Direct Materials: 512.5 equivalent units Conversion Costs: 525 equivalent units
	c. Direct Materials: 550 equivalent units Conversion Costs: 550 equivalent units
	d. Direct Materials: 525 equivalent units Conversion Costs: 512.5 equivalent units