Question

During March, the production department of a process operations system completed and transferred to finished goods 17,000 units that were in process at the beginning of March and 150,000 units that were started and completed in March. March's beginning inventory units were 100% complete with respect to materials and 59% complete with respect to conversion. At the end of March, 34,000 additional units were in process in the production department and were 100% complete with respect to materials and 24% complete with respect to conversion. Compute the number of equivalent units with respect to both materials and conversion respectively for March using the weighted-average method.

Answer 1

a)201,000 units

b) 175,167 units

Step-by-step explanation:

As per the data given in the question,

Details Materials Conversion

Calculation Units Calculation Units

Units completed

and transferred (150,000+17,000)×100% 167,000 (150,000+17,000)×100% 167,000

Ending WIP 34,000×100% 34,000 34,000×24% 8,160

Total units (167,000+34,000) 201000 (167,000+8,167) 175,167