Myrna's Manufacturing has 6,000 units in beginning Work in Process, 15% complete as to conversion costs, 15,000 units transferred out to Finished Goods, and 2,000 units in ending Work in Process 10% complete as to conversion costs.Materials are fully added at the beginning of the process.How much are equivalent units for materials if the weighted-average method is used?
A)11,000
B)17,000
C)21,000
D)23,000

Question

Quizplus · Accepted Answer

Equivalent units for materials = Units transferred out + Units in ending Work in Process (since materials are added at the beginning, all units are 100% complete for materials). Therefore, 15,000 units transferred out + 2,000 units in ending WIP = 17,000 equivalent units for materials.

Myrna's Manufacturing Has 6,000 Units in Beginning Work in Process