Activity in Saggers Corporation's Assembly Department for the month of March follows: The equivalent units for conversion for March, using the weighted-average method, are:
A) 69,600 units
B) 67,800 units
C) 71,000 units
D) 69,000 units

Question

Activity in Saggers Corporation's Assembly Department for the month of March follows:  The equivalent units for conversion for March, using the weighted-average method, are:
A) 69,600 units 
B) 67,800 units 
C) 71,000 units 
D) 69,000 units

Quizplus · Accepted Answer

The equivalent units for conversion for March can be calculated as follows:
- Units completed and transferred out: 60,000
- Ending work in process inventory (100% complete for materials, 70% complete for conversion): 12,000 x 70% = 8,400
- Total equivalent units for conversion: 60,000 + 8,400 = 68,400
Using the weighted-average method, we also need to consider the equivalent units from the beginning work in process inventory. Since this information is not provided in the question, we assume that there was no beginning work in process inventory. Therefore, the answer is B) 67,800 units.

Activity in Saggers Corporation's Assembly Department for the Month of March