Carbamate Manufacturing produces a pesticide chemical and uses process costing. There are three processing departmentslong dashMixing, Refining, and Packaging. On January 1, the Refining Department had 2,000 gallons of partially processed product in production. During January, 30,000 gallons were transferred in from the Mixing Department, and 29,000 gallons were completed and transferred out. At the end of the month, 3,000 gallons of partially processed product remained in the Refining Department. The weightedminusaverage method is used. See additional details below.

Refining Department, ending balance at January 31
Percent completed for materials cost: 92%
Percent completed for conversion cost: 76%

What was the total number of equivalent units of production for conversion costs for the month of January for the Refining Department?

Under the weighted average method of valuation, to account for completed units, it is assumed that the entire degree of work required is done in the period under consideration. So there is no separation of the completed units into opening inventory and fully worked.

Equivalent units are notional whole units which represent incomplete work and are used to apportion cost between work progress and completed work

Equivalent unit = Degree of completion × number of units

Equivalent unit for conversion cost

Item units Equivalent unit

transferred 29,000 100%× 29,000 = 29,000

Closing inventory 3,000 76%× 3,000 = 2280

Total equivalent unit 31,280

Equivalent unit for conversion cost= 31,280 units