Forsyth Company produces calendars in a one-process department. Materials are introduced at the beginning of the process. Conversion is applied uniformly throughout the process. Data for the current period is as follows:

- Assuming Forsyth uses the FIFO method, what were the equivalent units of production for conversion costs?

Question

Forsyth Company produces calendars in a one-process department. Materials are introduced at the beginning of the process. Conversion is applied uniformly throughout the process. Data for the current period is as follows:

- Assuming Forsyth uses the FIFO method, what were the equivalent units of production for conversion costs?

Quizplus · Accepted Answer

The FIFO method calculates equivalent units based on work done during the period. The equivalent units for conversion costs would be the units completed and transferred out plus the equivalent units in ending work in process, minus the equivalent units in beginning work in process.

Forsyth Company Produces Calendars in a One-Process Department