The Assembly Department of Zedco Ltd. had 45,000 partially completed units in work in process at the end of October. Only 50% of the direct materials had been added to these units, and the units were 55% of the way through the conversion process. In addition, 425,000 units had been completed and transferred out of the Baking Department to the Packaging Department during the month.
Required:
A. What are the total equivalent units for direct materials?
B. At the end of the year, what are the equivalent units for conversion costs?

Question

Quizplus · Accepted Answer

The Answer of The Assembly Department of Zedco Ltd. had 45,000 partially completed units in work in process at the end of October. Only 50% of the direct materials had been added to these units, and the units were 55% of the way through the conversion process. In addition, 425,000 units had been completed and transferred out of the Baking Department to the Packaging Department during the month.
Required:
A. What are the total equivalent units for direct materials?
B. At the end of the year, what are the equivalent units for conversion costs?