Assume no beginning WIP inventory.The ending WIP inventory is 30% complete for materials.The total number of equivalents for materials would be:

Question

Quizplus · Accepted Answer

The total number of equivalents for materials would include both the materials used in completed units and the materials used in the ending WIP inventory. Since the ending WIP inventory is 30% complete for materials, it means that only 70% of the materials have been used. Therefore, the total number of equivalents for materials would be less than the units started, which includes all the materials used in units completed and in progress.

Assume No Beginning WIP Inventory