Saturn Corporation
Begining invent ouy (30\% complete as to Material B and $ 60 \% $ complete for 700 units
conversion

Started this cycle 2,000 units
Ending inventory (50\% complete as to Material B and $ 80 \% $ complete for conversion) 500 units

$\begin{array}{lc}
\text { Beginuing inventory costs: } & \
\text { Material A } &\$ 14,270 \
\text { Material B } &5,950 \
\text { Conversion } & 5,640 \
\text { Current Period costs: } & \
\text { Material A } & \$ 40,000\
\text { Material B } &70,000 \
\text { Conversion } & 98,100
\end{array}$

Material A is added at the start of production,while Material B is added uniformly throughout the process.
Refer to Saturn Corporation.Assuming a weighted average method of process costing,compute EUP units for Materials A and

Question

Saturn Corporation
Begining invent ouy (30\% complete as to Material B and $ 60 \% $ complete for                                     700                                   units
conversion

Started this cycle                                                                                                                                     2,000                               units
Ending inventory (50\% complete as to Material B and $ 80 \% $ complete for conversion)                       500                                   units

$\begin{array}{lc}
\text { Beginuing inventory costs: } &  \
\text { Material A } &\$ 14,270 \
\text { Material B } &5,950  \
\text { Conversion } & 5,640  \
\text { Current Period costs: } &  \
\text { Material A } & \$ 40,000\
\text { Material B } &70,000  \
\text { Conversion } & 98,100
\end{array}$

Material A is added at the start of production,while Material B is added uniformly throughout the process.
Refer to Saturn Corporation.Assuming a weighted average method of process costing,compute EUP units for Materials A and

Quizplus · Accepted Answer

To compute EUP units for Material A:
- Beginning inventory units are 700
- Units started and completed this cycle are 2,000
- Ending inventory units are 500 (50% complete as to Material A)
- Total equivalent units are 700 + 2,000 + (500 x 50% ) = 2,700
- Cost per EU for Material A is ($14,270 + $40,000)/2,700 = $21.93

To compute EUP units for Material B:
- Beginning inventory units are 700
- Units started and completed this cycle are 2,000
- Ending inventory units are 500 (60% complete as to Material B)
- Total equivalent units are 700 + (2,000 x 60%) + (500 x 80% ) = 2,450
- Cost per EU for Material B is ($5,950 + $70,000)/2,450 = $31.84

Therefore, the answer is B)2,700 and 2,450, respectively.

Saturn Corporation Begining Invent Ouy (30\% Complete as to Material 60% 60 \% 60%

Saturn Corporation
Begining Invent Ouy (30\% Complete as to Material $60 \%$