Problem: Luster Company uses the weighted-average method in its process costing system. Operating data for the first processing department for the month of June appear below:
Percentage
Units Complete
Beginning Work in Process Inventory 13,000 40%
Started into production during June 98,000
Ending Work in Process Inventory 11,000 30%
According to the company's records, the conversion cost in beginning work in process inventory was $39,364 at the beginning of June. Additional conversion costs of $721,035 were incurred in the department during the month.
What was the cost per equivalent unit for conversion costs for the month? (Round off to three decimal places.)
A) $6.615
B) $7.358
C) $7.361
D) $7.570