Chapter 8, Problem 21E

Compute Equivalent Units: FIFO Method

Refer to the data in Exercise 8-20.

Required

1. a.      Compute the equivalent units for materials using FIFO.
2. b.      Compute the equivalent units for conversion costs using FIFO.

8-20 Compute Equivalent Units: Weighted-Average Method

1. a.      Pierce & Company provides the following information concerning the work in process at its plant:
2. b.      Beginning inventory was partially complete (materials are 100 percent complete; conversion costs are 40 percent complete).
3. c.       Started this month, 252,000 units.
4. d.      Transferred out, 210,000 units.
5. e.       Ending inventory, 140,000 units (materials are 100 percent complete; conversion costs are 45 percent complete).

Required

1. a.      Compute the equivalent units for materials using the weighted-average method.
2. b.      Compute the equivalent units for conversion costs using the weighted-average method.