Onyemah Corporation uses the first-in, first-out method in its process costing system. Operating data for the Brazing Department for the month of November appear below: What were the equivalent units of production for conversion costs in the Brazing Department for November?
A) 54,880
B) 51,480
C) 47,600
D) 51,400

Question

Onyemah Corporation uses the first-in, first-out method in its process costing system. Operating data for the Brazing Department for the month of November appear below:  What were the equivalent units of production for conversion costs in the Brazing Department for November?
A) 54,880 
B) 51,480 
C) 47,600 
D) 51,400

Quizplus · Accepted Answer

To calculate the equivalent units of production for conversion costs, we need to add completed units and equivalent units of work in process inventory.

Completed units = 61,000 
Equivalent units of work in process inventory = 
(70% x 26,000) = 18,200

Total equivalent units of production for conversion costs = 
Completed units + Equivalent units of work in process inventory 
= 61,000 + 18,200 
= 79,200

Therefore, the equivalent units of production for conversion costs in the Brazing Department for November were 51,480 (option B).

Onyemah Corporation Uses the First-In, First-Out Method in Its Process