James Company uses process costing to track its costs in two sequential production departments: Forming and

Finishing. The following information is provided regarding the Forming Department:

Forming Department

Month Ended June 30

Unit information

Beginning work in process, June 1 — 4,000

Started into production during June — 22,000

Completed and transferred to Finished Department during June — 20,000

Ending work in process, June 30 (20% complete as to direct materials and 50% complete as to conversion costs) — 6,000

Cost information:

Beginning work in process as of June 1 (consists of $1,000 of direct materials costs and $4,500 of conversion costs) — $5,500

Direct materials used in June — $7,268

Conversion costs incurred in June — $32,990

Required:

(a) Calculate the equivalent units for conversion costs. (Show your work)

(b) Calculate the cost per equivalent unit for conversion costs.

James Company uses process costing to track its costs