The following production data were taken from the records of

The following production data were taken from the records of the Finishing Department for June: Inventory in process, June 1 (34% completed) Completed units during June Ending inventory (62% complete) What is the number of material equivalent units of production in the June 30, Finishing Department inventory, assuming that the first-in, first-out method is used to cost inventories and materials were added at the beginning of the process? 5,700 units 61,300 units 3,400 units a. 3,400 units b. 64,700 units C. 59,000 units d. 55,600 units

Solution

1)

Ending equivalent units for materials:

= Ending inventory×Percentage of completion for materials

= 3,400×100%

= 3,400 units

Hence, correct option is 3,400 units