When using the weighted-average method, equivalent units are
A)the number of units completed in a period.
B)the number of units completed in a period plus the number of units in process at the end of the period multiplied by the percentage of which the units have been completed.
C)the number of units in beginning inventory plus the number of units completed in a period.
D)the number of units produced in a period less the number of units in process at the end of the period.

Question

Quizplus · Accepted Answer

Equivalent units are the measurement of production output that accounts for partially completed units. In the weighted-average method, equivalent units are calculated by adding the fully completed units to the equivalent units of the partially completed units at the end of the period, which is calculated by multiplying the number of units in process by the percentage of completion. Therefore, the correct answer is B.

When Using the Weighted-Average Method, Equivalent Units Are