Exercise 8-21 Compute Equivalent Units: FIFO Method (LO 8-1, 5)

Pierce & Company provides the following information concerning the work in process at its plant:

Beginning inventory was partially complete (materials are 100 percent complete; conversion costs are 59 percent complete).

Started this month, 60,300 units.

Transferred out, 49,700 units.

Ending inventory, 20,300 units (materials are 100 percent complete; conversion costs are 13 percent complete).

Required:

a. Compute the equivalent units for materials using FIFO.

b. Compute the equivalent units for conversion costs using FIFO.