erkins Company uses the weighted-average method in its process costing system. The company sold 250,000 units during the current month. The following data were taken from the company's accounting records: [O4] Beginning inventory Work in Process (Packing Department) : none Finished Goods: 75,000 units Ending Inventory Work in Process (Packing Department) (75% complete as to conversion) : 16,000 units Finished Goods: 60,000 units What were the equivalent units of production for conversion costs in the Packing Department for the current month?

Question

Business

Irvin Kidd

17 October, 23:18

erkins Company uses the weighted-average method in its process costing system. The company sold 250,000 units during the current month. The following data were taken from the company's accounting records: [O4] Beginning inventory Work in Process (Packing Department) : none Finished Goods: 75,000 units Ending Inventory Work in Process (Packing Department) (75% complete as to conversion) : 16,000 units Finished Goods: 60,000 units What were the equivalent units of production for conversion costs in the Packing Department for the current month?

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Valerie · Answer 1

The equivalent units of production for conversion costs were:

Ending Inventories:

Work in Process - Eqvivalent units (16000*75%) = 12,000

Finished Goods = 60,000

Add:Units sold during the month = 250,000

322,000

Less:

Beginning Inventories:

Work in Process - Eqvivalent units = 0

Finished Goods = 75,000

Equivalent Units of Production = 247,000