Answers
Here, Weighted average method can only be applied as degree of completion of begining work in process inventory is not given.
Hence, the equivalent units of production for material cost is as under:
Equivalent Units: | ||||||||
UNITS | Material Cost | |||||||
% Completion | Units | |||||||
Units completed and transferred out | 24200 | 100% | 24,200 | |||||
Ending Work in Process | 9800 | 0% | 0 | (as only 50% completed) | ||||
Total Equivalent units | 34000 | 24,200 | ||||||
Answer is: | ||||||||
EUP of material cost = 24,200 units |
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