If the units in the beginning Work-in-Process Inventory are greater than the units in the ending Work-in-Process Inventory, then the units transferred out are:
A) more than the units started during the period.
B) equal to the equivalent units of production.
C) less than the units started during the period.
D) equal to the actual work done during the period.

Question

Quizplus · Accepted Answer

If the beginning Work-in-Process Inventory is greater than the ending Work-in-Process Inventory, it means that some of the units that were in process at the beginning have been completed and transferred out, in addition to the units started and completed during the period. Therefore, the units transferred out are more than the units started during the period.

If the Units in the Beginning Work-In-Process Inventory Are Greater