There are 36,000 units started. 27,000 were completed and transferred out and the 9,000 remaining units were 40% complete for conversion costs. The total number of equivalent units for conversion costs is assuming the weighted-average method is

Question

Quizplus · Accepted Answer

Total equivalent units for conversion costs = Units completed and transferred out + Equivalent units for units in ending work in process inventory.
For units completed and transferred out = 27,000 equivalent units (given).
For ending work in process inventory, we know that 9,000 units were 40% complete for conversion costs. Thus, equivalent units for conversion costs for the 9,000 units = 9,000 units x 40% = 3,600 equivalent units.
Therefore, total equivalent units for conversion costs = 27,000 + 3,600 = 30,600 equivalent units (option C).

There Are 36,000 Units Started