Question

The phantom corporation started 4,800 units during february. phantom started the month with 700 units in process (40% complete) and ended the month with 400 units in process (40% complete). how many units were transferred to the finished goods inventory during february? rev: 03_04_2017_qc_cs-81379 5,100. 5,500. 5,380. 4,400.

Answer 1

The Phantom Corporation transferred 4,920 units to the finished goods inventory in February, considering the percentage of completion for units in process at the beginning and end of the month.

Step-by-step explanation:

To calculate the number of units transferred to the finished goods inventory during February for the Phantom Corporation, we need to follow these steps:

1. Determine the total number of units accounted for at the start and end of the month, this includes both the units in process and units started during the month.
2. Next, we account for the completion level of the units in process at the beginning and the end of the month.
3. Finally, we subtract the equivalent units remaining in process at the end of the month from the total units accounted for.

The company started with 700 units at 40% complete, which contributes to 280 units already completed from the prior month (700 units x 40%). During February, 4,800 new units were started. The company ended the month with 400 units at 40% complete, contributing 160 completed units from February's work (400 units x 40%). To find the total units transferred to finished goods, we add up the units that were fully completed this month, which includes all new units started during the month and the completed part of the units in process at the beginning, and then subtract the completed portion of the units still in process at the end.

The calculation is as follows:

(700 units x 40%) + 4,800 units - (400 units x 40%) = 280 units + 4,800 units - 160 units = 4,920 units

So, the Phantom Corporation transferred 4,920 units to the finished goods inventory during February.

Answer 2

We were told they produced 700 units. So far so good, but I would like to ask 40% of how many total initialnunits? Let the unit be X so we have 40% * X = 700 units and similarly 40% * X = 400units. So we have that X = 700/.4 and X = 400/.4 this gives 1750 and 1000 units respectively. Total units transferred to the finished goods is 1750 + 1000 = 2750 units. With 4800-2750 =2050 still needing to be be produced.