One of the many types of sugar The Marigold Company produces is granulated sugar, with its most popular package being the 4-pound bag. In August, the company reported the following equivalent units and total cost information for the sweet 4-pound bags. Step 2: Determine physical status of units and convert into equivalent units Equivalent Units DM Conversion Costs % Added % Added Physical This Equiv. This Equiv. Units Period Units Period Units Units in beginning WIP Inventory completed this period 1,500 0% 80% 1,200 Units Started and completed this period 15,600 100% 15,600 100% 15,600 Units in ending WIP Inventory 400 100% 400 70% 280 Total units accounted for 17,500 Total equivalent units of work done this period 16,000 17,100 Step 3: Account for costs Total Costs DM Conversion Costs Costs in beginning WIP Inventory (from last period) $954 $594 $360 Costs added to WIP Inventory this period 25,880 8,800 17,080 Total costs to account for $26,834 $9,394 $17,440 The Marigold Company uses the FIFO method of process costing