Missouri Corporation shows the following information concerning the work in proc
ID: 2465079 • Letter: M
Question
Missouri Corporation shows the following information concerning the work in process at its plant:
• Beginning inventory was partially complete (materials are 100 percent complete; conversion costs are 58 percent complete).
• Started this month, 59,600 units.
• Transferred out, 50,900 units.
• Ending inventory, 18,400 units (materials are 100 percent complete; conversion costs are 13 percent complete).
Required:
(a) Compute the equivalent units for materials using FIFO.
(b) Compute the equivalent units for conversion costs using FIFO.
Explanation / Answer
Answer: (a) & (b)
Particulars Material Conversion To complete beginning inventory: 0 4074 Started and completed during the period 50900 50900 units in ending inventory 18400 2392 Total equivaalent units 69300 57366