The Molding Department of Kennett Company has the following production data: beginning work in process 25000 units (60% complete) started into production 475000 units completed and transferred out 450000 units and ending work in process 50000 units (40% complete). Assuming conversion costs are incurred uniformly during the process the equivalent units for conversion costs are:

Question

Quizplus · Accepted Answer

To calculate the equivalent units for conversion costs, we need to take the units completed and transferred out plus the equivalent units of the ending work in process. 
The equivalent units of the completed and transferred out units are 450,000 units. 
The equivalent units of the ending work in process are calculated as: 
50000 units x 40% = 20,000 units 
Therefore, the total equivalent units for conversion costs are: 
450,000 units + 20,000 units = 470,000 units. 
So, the correct answer is C.

The Molding Department of Kennett Company Has the Following Production