Covington Corporation Uses a Process-Cost Accounting System

Covington Corporation uses a process-cost accounting system.The company adds direct materials at the start of its production process; conversion cost, on the other hand, is incurred evenly throughout manufacturing.The firm has no beginning work-in-process inventory; its ending work in process is 40% complete.Which of the following sets of percentages would be used to calculate the correct number of equivalent units in the ending work-in-process inventory?

A) Materials, 40%; conversion cost, 40%.
B) Materials, 40%; conversion cost, 100%.
C) Materials, 100%; conversion cost, 40%.
D) Materials, 100%; conversion cost, 60%.
E) Materials, 100%; conversion cost, 100%.