Chapter 20, Problem E20.20E

To determine

Equivalent number of units completed and transferred out is 100% complete as regards to all element of cost. Therefore, the equivalent units of such units as regards to all element of cost will be same as that of number of units completed and transferred out under Weighted Average cost method. However, degree of completion for each element of cost will be provided for units remained in process at the end. The equivalent units for respective element of cost will be determined by applying its degree of completion to number of units in process at the end. The Sum total of Equivalent units of completed and transferred out and equivalent units of respective element of cost for units in process at the end will be total number of equivalent units as regards to respective element of cost.

The Equivalent units of material cost and conversion cost under various situations under Process costing need to be determined.