Question: Ozdemir Corporation uses the first-in, first-out method in its process costing system. Data concerning the first processing department for the most recent month are listed

Ozdemir Corporation uses the first-in, first-out method in its process costing system. Data concerning the first processing department for the most recent month are listed below:

Beginning work in process inventory:
Units in beginning work in process inventory 550
Materials costs $ 2,500
Conversion costs $ 950
Percent complete with respect to materials 55%
Percent complete with respect to conversion 10%
Units started into production during the month 5,700
Units transferred to the next department during the month 5,200
Materials costs added during the month $ 81,800
Conversion costs added during the month $ 135,800
Ending work in process inventory:
Units in ending work in process inventory 1,050
Percent complete with respect to materials 85%
Percent complete with respect to conversion 70%

What are the equivalent units for conversion costs for the month in the first processing department?

Multiple Choice

  • 5,880

  • 735

  • 4,650

  • 6,250

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