Equivalent production expresses all activity of the period in terms of
A) work in process
B) materials, labor and overhead
C) fully completed units
D) partially completed units

Question

Quizplus · Accepted Answer

Equivalent production is used to express the total activity of a period in terms of completed units. This means that partially completed units are not included in the calculation. Materials, labor, and overhead are important in determining equivalent production, but they do not directly represent the output of the production process. Work in process is also important, but it is not the best choice as it does not reflect the completed output of the production process.

Equivalent Production Expresses All Activity of the Period in Terms