Department A had 5,000 units in work in process that were 62% completed as to labor...

Department A had 5,000 units in work in process that were 62% completed as to labor and overhead at the beginning of the period; 31,900 units of direct materials were added during the period; 34,500 units were completed during the period; and 2,400 units were 35% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. The first-in, first-out method is used to cost inventories. The number of equivalent units of production for material costs for the period was a. 29,500 b. 34,500 c. 31,900 d. 36,900

Expert Solution

Correct Answer = Option ‘c’ 31,900 units for Material Cost
Working

EUP - FIFO Method	Units	% Material completed this period	EUP Materials
Units of ENDING WIP	2,400	100%	2,400
Units STARTED & COMPLETED	29,500	100%	29,500
Units of beginning WIP	5,000	0.% [it was already complete with respect to Material]	-
Equivalent Units of Production			31,900 = Answer

ekkarill92 answered 1 year ago

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