Question

The Wisco Company has a process cost system. All materials are placed in process when the process is first begun. At the beginning of September, there were no units of product in process. During September 50,000 units were started; 5,000 of these were still in process at the end of September and were 3/5 finished. The equivalent units of material in September were A. 40,000B. 45,000C. 48,000D. 50,000

Answer 1

Answer: 50,000 units

Step-by-step explanation:

Given that,

Units started during September = 50,000

Ending WIP = 5,000 units

Completed units = Units started during September - Ending WIP

= 50,000 - 5,000

= 45,000 units

Therefore,

Equivalent units of material in September = Completed units + Ending WIP

= 45,000 + 5,000

= 50,000 units