Q.1 State two conditions under which computing equivalent units will make a material difference to reported inventory amounts.

A. When there are no conversion costs and significant amounts of work-in-process exist.

B. When labour and conversion costs are input at the beginning of the process only.

C. When significant amounts of work-in-process exist and when labour and conversion costs are input throughout the process.

D. When there is no work-in-process and conversion costs are input throughout the process.