Oxford, Inc., which uses a process-cost accounting system, began operations on January 1 of the current year. The company incurs conversion cost evenly throughout manufacturing. If Oxford started work on 3,000 units during the period and these units were 70% of the way through manufacturing, it would be correct to say that the company has:

3,000 physical units in the production

Explanation:

Given that,

Oxford started work on 3,000 units during the period

Units were 70% of the way through manufacturing

Therefore,

Physical units in the production = 3,000 units

Equivalently units of production is as follows:

= 70% of Physical units in the production

= 0.7 * 3,000 units

= 2,100 units

Hence, it would be correct to say that the company has 3,000 physical units in the production.