In Lee Wen Company, materials are entered at the beginning of each process. Work in process inventories, with the percentage of work done on conversion costs, and production data for its sterilizing department in selected months during 2016 are as follows:

Instructions
(a) Calculate the physical units for January and May.
(b) Calculate the equivalent units of production for
(1) Materials
(2) Conversion costs for each

Transcribed Image Text:

Beginning Work in Process Ending Work in Process Conversion Cost % Month January March May july Units Transferred Out 9,000 12,000 14,000 10,000 Conversion Cost % 60 30 80 20 Units Units 2,000 4,000 6,000 1,500