Question

. Department C is the first stage of Cohen Corporation's production cycle. The following equivalent unit information is available for conversion costs for the month of September: Beginning work-in-process inventory (20% complete) 85,000 Started in September 1,430,000 Completed in September and transferred to Department D 1,210,000 Ending work-in-process inventory (80% complete) 305,000 Using the FIFO method, the equivalent units for the conversion cost calculation are:

Answer 1

1,657,000 units

Step-by-step explanation:

The FIFO method is concerned with the work done in the current production period.

Equivalent Units of Production - Conversion Costs

To finish Opening Work In Process ( 85,000 x 80%) 68,000

Started and Completed [(1,430,000 - 85,000) x 100%] 1,345,000

Ending Work In Process 305,000 x 80% 244,000

Total Equivalent Units of Production - Conversion Costs 1,657,000

therefore,

the equivalent units for the conversion cost calculation are: 1,657,000 units