In a given department, the beginning inventory of 8,000 units was 60% complete as to material, labor, and overhead. A total of 9,000 units were started and completed during the period, and the ending inventory of 10,000 units was 40% complete as to material, labor and overhead. The equivalent production for the period in units is:

Question

Quizplus · Accepted Answer

Equivalent production is calculated by adding the units started and completed (9,000) to the equivalent units in ending inventory (10,000 units * 40% = 4,000) and subtracting the equivalent units in beginning inventory (8,000 units * 60% = 4,800). Thus, 9,000 + 4,000 - 4,800 = 16,200.

In a Given Department, the Beginning Inventory of 8,000 Units