Respuesta :
Answer:
the equivalent units for direct materials and conversion costs, respectively, for June are:
direct materials = 1,330 units
conversion costs = 1,300 units
Explanation:
The Concept of Equivalent Units measures the number of units of output (Ending Work In Process and Completed and Transferred Out) of a process in terms of percentage of completion of an input in the process.
First Determine the Number of Units transferred out of the Process
Hint : Units IN must equal Units OUT
Number of Units transferred out = 380+950-150
= 1,180
Determine the Equivalent Units for direct materials and conversion costs
Direct materials :
Completed and Transferred Out ( 1,180× 100%) = 1180
Ending Work In Process Inventory( 150 × 100%) = 150
Total = 1,330
Conversion costs :
Completed and Transferred Out ( 1,180× 100%) = 1,180
Ending Work In Process Inventory( 150 × 80%) = 120
Total = 1,300
Answer:
Direct material = 1,330units
Conversion cost = 1,300units
Explanation:
The idea of Equivalent Units evaluates the number of units of output of a process in terms of percentage of finishing of an input in the process.
We should determine the Number of Units transferred out of the Process
Which is
Number of Units transferred out =950+380+150= $1,180
Let's also find the Equivalent Units for direct materials and conversion costs
Direct material is calculated as
Completed and Transferred Out ( 1,180× 100%) = 1180
Ending Work In Process Inventory( 150 × 100%) = 150
= 150+ 1180
Total = $1,330
Costs of conversion is calculated as
Completed and Transferred Out ( 1,180× 100%) = 1,180
Ending Work In Process Inventory( 150 × 80%) = 120
= 1180+120
Total= $1,300