Obj. 2 Example Exercise 20-3 Equivalent Units of Materials Cost The Bottling Department of Rocky Springs Beverage Company had 4,000 liters in the beginning work in process inventory (30% complete). During the period, 58,000 liters were completed. The ending work in process inventory was 3,000 liters (60% complete). What are the total equivalent units for direct materials if materials are added at the beginning of the process? Follow My Example 20-3 Total equivalent units for direct materials are 57,000, computed as follows: Percent Materials Added in Period 0% 100% Total Whole Units 4,000 54,000* 58,000 3,000 61,000 Inventory in process, beginning of period Started and completed during the period Transferred out of Bottling (completed) Inventory in process, end of period Total units to be assigned costs *58,000 - 4,000 Equivalent Units for Direct Materials 0 54,000 54,000 3,000 57,000 100% Practice Exercises: PE 20-3A, PE 20-3B PE 20-3B Equivalent units of materials cost OBJ. 2 The Rolling Department of Keystone Steel Company had 400 tons in beginning work in process inventory (20% complete). During the period, 7,900 tons were completed. The ending work in process inventory was 1,000 tons (30% complete). What are the total equivalent units for direct materials if materials are added at the beginning of the process? Chapter 20 Process Cost Systems 981 Example Exercise 20-4 Equivalent Units of Conversion Costs Obj. 2 The Bottling Department of Rocky Springs Beverage Company had 4,000 liters in the beginning work in process inventory (30% complete). During the period, 58,000 liters were completed. The ending work in process inventory was 3,000 liters (60% complete). What are the total equivalent units for conversion costs? Follow My Example 20-4 Total Whole Units Percent Conversion Completed in Period 70% 100% Inventory in process, beginning of period Started and completed during the period Transferred out of Bottling (completed) Inventory in process, end of period Total units to be assigned costs *58,000 4,000 4,000 54,000* 58,000 3,000 61,000 Equivalent Units for Conversion 2,800 54,000 56,800 1,800 58,600 60% Practice Exercises: PE 20-4A, PE 20-4B PE 20-4B Equivalent units of conversion costs OBJ. 2 The Rolling Department of Keystone Steel Company had 400 tons in beginning work in process inventory (20% complete). During the period, 7,900 tons were completed. The ending work in process inventory was 1,000 tons (30% complete). What are the total equivalent units for conversion costs