Oggie Company began the recent month with 5,000 units in their work in process inventory which was 70% complete with respect to conversion costs. During the month, Oggie started 18,000 units into production and ended the month with 3,000 units in their work in process inventory. Oggie's equivalent units of production for conversion costs were 22,700 for the month. What was the percentage that ending work in process had been completed?
A) 10%
B) 90%
C) 23%
D) 30%

Question

Quizplus · Accepted Answer

The ending work in process was 90% complete with respect to conversion costs. This is determined by calculating the equivalent units of production for conversion costs and considering the units completed and transferred out plus the ending work in process inventory. Given that the equivalent units of production for conversion costs were 22,700, and knowing the beginning inventory and units started, we can deduce that the ending inventory must have been significantly completed to reach that number of equivalent units.

Oggie Company Began the Recent Month with 5,000 Units in Their