Answer:
Universal Manufacturing
Equivalent unit cost for conversion cost is $18.
Explanation:
a) Data and Calculations:
Beginning work in process = 10,000 units
Ending work in process = 15,000 units
Units started = 30,000 units
Units completed = 25,000 units
Cost of:              Materials       Conversion
Beginning WIP   $60,000        $150,000
Current costs     180,000          480,000
Equivalent units of production:  Materials Degree       Conversion  Degree
Units started and completed      25,000     100%          25,000        100%
Ending WIP                                   15,000      100%          10,000         2/3
Total equivalent unit                   40,000                        35,000
Total cost of production:
Cost of:              Materials       Conversion
Beginning WIP   $60,000        $150,000
Current costs     180,000          480,000
Total cost        $240,000       $630,000
Cost per equivalent unit:
                                       Materials       Conversion   Total cost
Total cost                      $240,000       $630,000   $870,000
Total equivalent unit         40,000           35,000
Cost per equivalent unit   $6                  $18
b) Using the weighted average method, the costs in beginning inventory and current period costs are added and divided by the equivalent units of materials and conversion costs in order to establish an equivalent unit cost.  The equivalent cost per unit in process costing describes the average unit cost for each product.