Williams Company started 8,600 units in April.The company transferred out 6,400 finished units and ended the period with 3,200 units that were 40 percent complete as to both material and conversion costs.Beginning Work in Process Inventory units were

Question

Quizplus · Accepted Answer

To find the beginning Work in Process Inventory units, we need to subtract the units transferred out and the ending Work in Process Inventory units from the units started:

Beginning WIP Inventory = Units Started - Units Transferred Out - Ending WIP Inventory
Beginning WIP Inventory = 8,600 - 6,400 - (3,200 x 0.4)  (since the ending WIP units are 40% complete, we need to multiply by 0.4 to get the equivalent fully complete units)
Beginning WIP Inventory = 1,000

Therefore, the correct answer is B) 1,000.

Williams Company Started 8,600 Units in April