Following is a partial production cost report for Mitchell Manufacturing's Canning department.
Equivalent units of production (EUP)
Direct Materials
Percent
Percent
Units
Complete EUP
Completed and transferred out
72,000
100% 72,000
Complete
100%
Ending Work in Process
12,000
100%
12,000
Conversion
80%
EUP
72,000
7,200
84,000
79,200
Direct Materials
Conversion
Cost per EUP
Cost of beginning work in process
$ 43,200
$ 63,400
Costs added this period
144,400
194,200
Total costs
$ 187,600
$ 257,600
+ Equivalent units of production
84,000
79,200
Cost per EUP
$ 2.23 per EUP
$ 3.25 per EUP
The total conversion costs transferred out of the Canning department equals: