Equivalent Units of Production and Related Costs

The charges to Work in Process—Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in process at the beginning of production.

Work in Process-Assembly Department
Bal., 5,000 units, 30% completed	11,650	To Finished Goods, 115,000 units	?
Direct materials, 118,000 units @ $1.4	165,200
Direct labor	273,500
Factory overhead	106,330
Bal. ? units, 20% completed	?

Determine the following:

a.   The number of units in work in process inventory at the end of the period.
 units

Feedback

Units in ending work in process represent units that have been started in the department but have not been completed, and therefore have not been transferred out to finished goods.

b.   Equivalent units of production for direct materials and conversion. If an amount is zero or a blank, enter in "0".

Work in Process-Assembly Department
Equivalent Units of Production for Direct Materials and Conversion Costs
	Whole Units	Equivalent Units Direct Materials	Equivalent Units Conversion
Inventory in process, beginning
Started and completed
Transferred to finished goods
Inventory in process, ending
Total units

Feedback

When are materials added in the process? How does that affect the number of equivalent units in beginning work in process, units that have been started and completed and units in ending work in process? For units to be completed they have to be complete with respect to both materials and conversion.

c.   Costs per equivalent unit for direct materials and conversion. If required, round your answers to the nearest cent.

	Costs Per Equivalent Unit
Direct Materials	$
Conversion	$

d.   Cost of the units started and completed during the period.
$