Idaho Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below: Beginning work in process inventory Units in beginning work in process inventory 700 materials costs $8,600 conversion costs $15,600 Percent complete with respect to materials 70% Percent complete with respect to conversion 50% Units started into production during the month 7,000 Units transferred to the next department during the month 6,200 Materials costs added during the month $97,600 Conversion costs added during the month $253,200 Ending work in process inventory Units in ending work in process inventory 1,500 Percent complete with respect to materials 90% Percent complete with respect to conversion 15% What are the equivalent units for conversion costs for the month in the first processing department? Group of answer choices 6,425 6,200 225 7,700
Idaho Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below: Beginning work in process inventory Units in beginning work in process inventory 700 materials costs $8,600 conversion costs $15,600 Percent complete with respect to materials 70% Percent complete with respect to conversion 50% Units started into production during the month 7,000 Units transferred to the next department during the month 6,200 Materials costs added during the month $97,600 Conversion costs added during the month $253,200 Ending work in process inventory Units in ending work in process inventory 1,500 Percent complete with respect to materials 90% Percent complete with respect to conversion 15% What are the equivalent units for conversion costs for the month in the first processing department? Group of answer choices 6,425 6,200 225 7,700
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Idaho Corporation uses the weighted-average method in its
| Beginning work in process inventory | |
| Units in beginning work in process inventory | 700 |
| materials costs | $8,600 |
| conversion costs | $15,600 |
| Percent complete with respect to materials | 70% |
| Percent complete with respect to conversion | 50% |
| Units started into production during the month | 7,000 |
| Units transferred to the next department during the month | 6,200 |
| Materials costs added during the month | $97,600 |
| Conversion costs added during the month | $253,200 |
| Ending work in process inventory | |
| Units in ending work in process inventory | 1,500 |
| Percent complete with respect to materials | 90% |
| Percent complete with respect to conversion | 15% |
What are the equivalent units for conversion costs for the month in the first processing department?
Group of answer choices
6,425
6,200
225
7,700
Expert Solution
Step 1
Equivalent units for conversion costs = (No. of units Completed and Transferred Out x 100%) + (Ending work in process inventory x % completion)
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