The following production data were taken from the records of the Finishing Department for July:

Line Item Description Unit
Inventory in process, June 1, 30% completed 4,500 units
Transferred to finished goods during June 39,000 units
Ending work in process during June, 25% completed 3,500 units

Determine the total equivalent units for conversion costs, assuming that the first-in, first-out method is used to cost inventories. Assume that all direct materials are placed in process at the beginning of production.
a. 39,000 units
b. 38,525 units
c. 42,500 units
d. 38,000 units