Problem $7$

Instruction: Solve the following problem on a separate worksheet.

Purugganan Manufacturing has the following data for the month:

Quantity data:

WIP, beg $(25\%$ complete$)$

Started in process

$50,000$

$130,000$

WIP, end $(60\%$ complete$)20,000$

Materials are applied using the following:

$20\%$ at the start of the process

$50\%$ when the process is $55\%$ complete

$30\%$ when the process is $90\%$ complete

Conversion costs are applied evenly throughout the process.

Required: Compute for the equivalent units of production using.

a$.$ Average Method

b$.$ FIFO Method