The Nesting Company manufactures birdhouses in a single manufacturing process. The following information has been provided by Nesting Company:
The beginning units still in process are 100% complete with respect to direct materials and 75% complete with respect to conversion costs and had $4,800 of materials costs and $4,275 of conversion costs. The ending work in process was 100% complete with respect to direct materials and 35% complete with respect to conversion costs.
-Assuming the weighted-average method was used, what were the equivalent units of production for conversion costs?

Question

The Nesting Company manufactures birdhouses in a single manufacturing process. The following information has been provided by Nesting Company:
 The beginning units still in process are 100% complete with respect to direct materials and 75% complete with respect to conversion costs and had $4,800 of materials costs and $4,275 of conversion costs. The ending work in process was 100% complete with respect to direct materials and 35% complete with respect to conversion costs. 
-Assuming the weighted-average method was used, what were the equivalent units of production for conversion costs?

Quizplus · Accepted Answer

The equivalent units of production for conversion costs under the weighted-average method are calculated by adding the full units completed and transferred out to the equivalent units in ending work in process, considering the stage of completion for conversion costs. The correct answer, C) 12,750 units, suggests that it was derived by applying this method, taking into account the units completed and the percentage of completion for the units still in process.

The Nesting Company Manufactures Birdhouses in a Single Manufacturing Process