Question

Units in process, Dec. 1 (60 percent converted) 2,000 units Units in process, Dec. 31 (50 percent converted) 1,000 units Units started during the month 7,500 units Materials are added at the beginning of the process. How many equivalent units in process for conversion were there in December

Answer 1

7,800 units

Step-by-step explanation:

work in process December 1 = 2,000 units x 60% = 1,200 equivalent units

work in process December 31 = 1,000 units x 50% = 500 equivalent units

unis started during the month = 7,500

total units transferred out = 2,000 units + 7,500 units - 1,000 units = 8,500

equivalent conversion units = total units transferred out + ending WIP - beginning WIP = 8,500 units + 500 units - 1,200 units = 7,800