Question

Company uses the​ weighted-average method in its process costing system. The Packaging Department started the month with units in​ process, started ​units, and had units in process at the end of the period. All materials are added at the beginning of the​ process, and conversion costs are incurred uniformly. The units in process at the end of the month are ​% complete with respect to conversion costs. The department incurred the following​ costs: Beginning WIP Added this month TotalTransferred in $600 $13,400 $14,000Direct materials 700 3,400 4,100Conversion costs 350 6,490 6,840Total $1,650 $23,290 $24,940For conversion costs, the equivalent units of production are:_____a. 1,710 unitsb. 1,610 unitsc. 1,460 unitsd. 1,620 units

Answer 1

the numbers of the first part are missing here, so I looked for a similar one:

"The Packaging Department started the month with 300 units in process that were 70% complete, receiving 2,000 units from the Cutting Department. The Packaging department had 200 units in process at the end of the period that are 40% complete.

All materials are added at the beginning of the process and conversion is added uniformly.

From the Packaging Department, units are transferred to Finished Goods."

Since we are not asked to calculate costs, we are told to calculate equivalent units for conversion costs, the formula would be:

total units finished and transferred out = 300 + 2,000 - 200 = 2,100

equivalent units of ending WIP = 200 x 40% = 80

total equivalent units = 2,100 + 80 = 2,180 equivalent units