Department A had 5,000 units in work in process that were 60% completed as to labor and overhead at the beginning of the period, 34,000 units of direct materials were added during the period, 31,000 units were completed during the period, and 2,000 units were 80% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. The first-in, first-out method is used to cost inventories.
-The number of equivalent units of production for material costs for the period was
A)34,000
B)29,800
C)29,000
D)32,000

Question

Department A had 5,000 units in work in process that were 60% completed as to labor and overhead at the beginning of the period, 34,000 units of direct materials were added during the period, 31,000 units were completed during the period, and 2,000 units were 80% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. The first-in, first-out method is used to cost inventories.​
-The number of equivalent units of production for material costs for the period was
A)34,000
B)29,800
C)29,000
D)32,000

Quizplus · Accepted Answer

34,000Since all materials are added at the beginning of the process, the equivalent units for material costs are equal to the number of units introduced into the process during the period, which is 34,000 units. The completion stage of the units does not affect the calculation for material costs under these conditions.

Department a Had 5,000 Units in Work in Process That