Question

If 20,000 units in ending inventory are 75% complete with respect to direct materials and 60% complete as to conversion costs, then the equivalent units of production for direct materials are ________ and for conversion costs are _________. The weighted-average method is used.A. 12,000 and 12,000B. 15,000 and 12,000C. 20,000 and 20,000D. 15,000 and 15,000

Answer 1

B. 15,000 and 12,000

Step-by-step explanation:

The computation of the equivalent units of production is given below;

For direct material

= 20,000 units × 75%

= 15,000 units

For conversion cost

= 20,000 × 60%

= 12,000 units

Hence, the option b is correct

So, the same should be considered