The Bakersfield Company has the following information available: At the beginning of the period, there were 800 units in process that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. During the current period, 5,800 units were started and completed. Ending inventory contained 400 units that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. (Assume that the company uses the FIFO process costing method.)
The equivalent units of production for direct materials and conversion costs, respectively, were
A) 6,200 for direct materials and 6,360 for conversion costs.
B) 5,400 for direct materials and 6,520 for conversion costs.
C) 6,200 for direct materials and 5,960 for conversion costs.
D) 7,000 for direct materials and 6,520 for conversion costs.

Question

The Bakersfield Company has the following information available:  At the beginning of the period, there were 800 units in process that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. During the current period, 5,800 units were started and completed. Ending inventory contained 400 units that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. (Assume that the company uses the FIFO process costing method.)
The equivalent units of production for direct materials and conversion costs, respectively, were
A) 6,200 for direct materials and 6,360 for conversion costs. 
B) 5,400 for direct materials and 6,520 for conversion costs. 
C) 6,200 for direct materials and 5,960 for conversion costs. 
D) 7,000 for direct materials and 6,520 for conversion costs.

Quizplus · Accepted Answer

The Answer of The Bakersfield Company has the following information available:  At the beginning of the period, there were 800 units in process that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. During the current period, 5,800 units were started and completed. Ending inventory contained 400 units that were 60 percent complete as to conversion costs and 100 percent complete as to direct materials costs. (Assume that the company uses the FIFO process costing method.)
The equivalent units of production for direct materials and conversion costs, respectively, were
A) 6,200 for direct materials and 6,360 for conversion costs. 
B) 5,400 for direct materials and 6,520 for conversion costs. 
C) 6,200 for direct materials and 5,960 for conversion costs. 
D) 7,000 for direct materials and 6,520 for conversion costs.

The Bakersfield Company Has the Following Information Available: at the Beginning