Creative Creations uses process costing.Its Molding Department started 21,300 units in August and transferred 23,100 units to the Cutting Department.If the ending Work in Process inventory was 880 units in the Molding Department, how many units were in process on August 1?

Question

Quizplus · Accepted Answer

The number of units in process on August 1 can be calculated by adding the units transferred out and the ending Work in Process inventory, then subtracting the units started during the period: 23,100 (transferred out) + 880 (ending WIP) - 21,300 (started) = 2,680 units.

Creative Creations Uses Process Costing