If the company uses the weighted-average cost method, what are the equivalent units of production for conversion costs for the Blending Department for the month?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Information about units processed and processing costs incurred during a recent month in the Blending Department of a manufacturing company follow:
Number of Units Conversion Costs (Percent Completion)
11,000
120,000
114,000
17,000
Beginning work in process inventory
Units started into production
Units completed and transferred out
Ending work in process inventory
The beginning work in process inventory included $11,000 of conversion cost and $12,000 in material costs. During the month, the Department incurred an
additional $290,000 in conversion costs and $143,000 in material costs. All materials are added at the beginning of production in each department.
Multiple Choice
35%
If the company uses the weighted-average cost method, what are the equivalent units of production for conversion costs for the Blending Department for the
month?
114,000 units.
30%
119,100 units.
Transcribed Image Text:Information about units processed and processing costs incurred during a recent month in the Blending Department of a manufacturing company follow: Number of Units Conversion Costs (Percent Completion) 11,000 120,000 114,000 17,000 Beginning work in process inventory Units started into production Units completed and transferred out Ending work in process inventory The beginning work in process inventory included $11,000 of conversion cost and $12,000 in material costs. During the month, the Department incurred an additional $290,000 in conversion costs and $143,000 in material costs. All materials are added at the beginning of production in each department. Multiple Choice 35% If the company uses the weighted-average cost method, what are the equivalent units of production for conversion costs for the Blending Department for the month? 114,000 units. 30% 119,100 units.
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