Question

The following production data were taken from the records of the Finishing Department for June: Inventory in process, June 1 (35% completed) 5,000 units Completed units during June 64,500 units Ending inventory (63% complete) 4,400 units What is the number of material equivalent units of production in the June 30, Finishing Department inventory, assuming that the first-in, first-out method is used to cost inventories and materials were added at the beginning of the process?

a. 4,400 units
b. 59,500 units
c. 68,900 units
d. 63,900 units

Answer 1

d. 63,900 units

Step-by-step explanation:

Particulars Unit

Beginning inventory -

Units started and completed 59,500 [64,500 - 5,000]

Closing WIP for materials 4,400

Equivalent units for materials 63,900

So, the number of material equivalent units of production in the June 30, Finishing Department inventory is 63,900 units