At the end of the month, the department had 12,000 units in inventory, 85% complete as to materials and 60% complete as to conversion. How many units did the Forming Department start and complete in the current month

Question

Business

Jeffery Marsh

21 February, 20:01

At the end of the month, the department had 12,000 units in inventory, 85% complete as to materials and 60% complete as to conversion. How many units did the Forming Department start and complete in the current month

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Answers (1)

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Renee Bryant · Answer 1

Units started and completed = 56,000 units.

Explanation:

The complete question is as follows:

At the beginning of the month, the Forming Department of Martin Manufacturing had 14,000 units in inventory, 40% complete as to materials, and 20% complete as to conversion. During the month the department started 68,000 units and transferred 70,000 units to the next manufacturing department. At the end of the month, the department had 12,000 units in inventory, 85% complete as to materials and 60% complete as to conversion. How many units did the Forming Department start and complete in the current month?

Working 1: Reconciliation of units:

Beginning work in progress = 14,000 units (A)

Introduced = 68,000 units (B)

Total (A+B) = 14,000 units + 68,000 units

Total (A+B) = 82,000 units

Transferred out (D) = 70,000 units

Ending work in progress (A+B) - (D) = 82,000 units - 70,000 units

Ending work in progress = 12,000 units

Units transferred from work in progress = 14,000 units

Total units = 70,000 units

From units started/introduced = 70,000 units - 14,000 units

From units started/introduced = 56,000 units (answer)