Units completed and transferred out 3,750 units
To calculate the units completed and transferred out, we need to consider the units started, subtract the ending inventory, and adjust for the beginning inventory. The formula is:
Units completed and transferred out = Units started - Ending inventory + Beginning inventory (adjusted)
Given information:
1. Units started = 3,060 units
2. Ending inventory = 306 units one-fifth complete as to conversion costs (let's first convert this to equivalent complete units as to conversion costs)
Equivalent complete units = Ending inventory × 1/(1/5) = 306 × 5 = 1,530
3. Beginning inventory = 510 units one-fourth complete as to conversion costs (let's first convert this to equivalent complete units as to conversion costs)
Equivalent complete units = Beginning inventory × 1/(1/4) = 510 × 4 = 2,040
Now, plug these values into the formula:
Units completed and transferred out = 3,060 - 1,530 + 2,040
Units completed and transferred out = 3,570
Therefore, Units completed and transferred out = 3,570 units.