Organic Sugar Company at Ohio Has Six Processing Departments for Refining

Organic Sugar Company at Ohio has six processing departments for refining sugar: Affination, Carbonatation, Decolorization, Boiling, Recovery, and Packaging. Conversion costs are added evenly throughout each process. Data from the month of August for the Decolorization Department are as follows: $$\begin{array} { | l | r | } \hline& \text { Metric Tons } \\\hline \text { Beginning Work-in-Process Inventory } &0\\\hline \text { Transferred in production } & 12,500 \\\hline \text { Completed and transferred out to Boiling in August } & 8,000 \\\hline \text { Ending Work-in-Process Inventory } &4,500\\\hline\end{array}$$ $$\begin{array} { | l | r | } \hline &{ \text { Costs } } \\\hline \text { Beginning Work-in-Process Inventory } & \$ 0\\\hline \text { Costs added during August: } & \\\hline \text { Direct materials } & 2,500,000 \\\hline \text { Direct labor } & 1,250,000 \\\hline \text { Manufacturing overhead } & \underline { 625,000 } \\\hline \text { Total costs added during August } & \$ 4,375,000 \\\hline\end{array}$$ The ending Work-in-Process Inventory is 100% and 65% complete with respect to direct materials and conversion costs, respectively. Compute the equivalent units of production (EUP) for direct materials and for conversion costs for the month of August.

A) 10,925 EUP for direct materials and 2,925 EUP for conversion costs
B) 12,500 EUP for direct materials and 10,925 EUP for conversion costs
C) 2,925 EUP for direct materials and 10,925 EUP for conversion costs
D) 12,500 EUP for direct materials and 2,925 EUP for conversion costs