Using the first-in-first-out (FIFO)method, the material and conversion costs in opening work in process at the beginning of a period are considered in determining the costs per equivalent unit for that period.

Question

Quizplus · Accepted Answer

Under the FIFO method, only the costs added during the current period are considered in determining the costs per equivalent unit; the costs from the opening work in process are not mixed with the costs of the current period.

Using the First-In-First-Out (FIFO)method, the Material and Conversion Costs in Opening