A process with 1200 units of beginning work in process compl

A process with 1200 units of beginning work in process, completed and transferred out 24400 units during a period. There were 10000 units in the ending work in process that were 50% complete as to conversion costs. Materials are added 80% at the beginning of the process and 20% when the units are 90% complete. How much is equivalent units of production for the period for material costs?

Solution

Solution:

Equivalent units of production = Units transferred out + Equivalent units in ending work in process inventory

= (24,400) + (10,000 × 80%)

= 24,400 + 8,000

= 32,400 Equivalent units