Carbamate Manufacturing produces a pesticide chemical and uses process costing.There are three processing departments-Mixing,Refining,and Packaging.On January 1,the Refining Department had 2000 gallons of partially processed product in production.During January,31,000 gallons were transferred in from the Mixing Department,and 32,000 gallons were completed and transferred out.At the end of the month,1000 gallons of partially processed product remained in the Refining Department.The weighted-average method is used.See additional details below. Refining Department,ending balance at January 31
Percent completed for materials cost: $\quad 90 \%$
Percent completed for conversion cost: $\quad 76 \%$
What was the total number of equivalent units of production for conversion costs for the month of January for the Refining Department?

Question

Carbamate Manufacturing produces a pesticide chemical and uses process costing.There are three processing departments-Mixing,Refining,and Packaging.On January 1,the Refining Department had 2000 gallons of partially processed product in production.During January,31,000 gallons were transferred in from the Mixing Department,and 32,000 gallons were completed and transferred out.At the end of the month,1000 gallons of partially processed product remained in the Refining Department.The weighted-average method is used.See additional details below. Refining Department,ending balance at January 31
Percent completed for materials cost: $\quad 90 \%$ 
Percent completed for conversion cost: $\quad 76 \%$
 What was the total number of equivalent units of production for conversion costs for the month of January for the Refining Department?

Quizplus · Accepted Answer

The total number of equivalent units of production for conversion costs is calculated by adding the units completed and transferred out to the equivalent units for the ending work in process inventory based on the percentage completion for conversion costs. For the Refining Department, 32,000 gallons were completed and transferred out. The ending inventory had 1,000 gallons at 76% completion for conversion costs, which equals 760 equivalent units (1,000 gallons * 76% = 760). Therefore, the total equivalent units for conversion costs are 32,000 (completed and transferred out) + 760 (equivalent units for ending inventory) = 32,760 units.

Carbamate Manufacturing Produces a Pesticide Chemical and Uses Process Costing 90%\quad 90 \%90%

Carbamate Manufacturing Produces a Pesticide Chemical and Uses Process Costing $\quad 90 \%$