Using the information below and assuming a FIFO method of process costing, deter

Question

Using the information below and assuming a FIFO method of process costing, determine the equivalent units of production for labor and overhead.

a. Beginning WIP Inventory (45% complete) 10,000
Units started in production 350,000
Units transferred out 344,000
Ending WIP Inventory (60% complete) 16,000

b. Beginning WIP Inventory (30% complete) 40,000
Units started in production 480,000
Units transferred out ?
Ending WIP Inventory (70% complete) 26,000

c. Beginning WIP Inventory (55% complete) 15,000
Units started in production 405,000
Units transferred out 415,800
Ending WIP Inventory (90% complete) ?

d. Beginning WIP Inventory (25% complete) 10,800
Units started in production ?
Units transferred out 351,600
Ending WIP Inventory (45% complete) 18,300

Explanation / Answer

a. equivalent units of production=60%*16,000 +344,000-10,000*45% = 349,100 . b Ending WIP Inventory = 40,000+480,000 -Units transferred out Units transferred out =40,000+480,000 -26,000 = 494,000 equivalent units of production=494,000 +70%*26,000 -30%*40,000 = 500,200 c.Ending WIP Inventory =15,000 + 405,000 - 415,800 =4200 equivalent units of production=4200*90%+415,800-55%*15,000= 411,330 d. equivalent units of production=45%*18,300 +351,600 -25% *10,800 = 357,135 units

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.