The following information was obtained from the records of the first processing department of Bapst Corporation for the month of May.The company uses the FIFO method in its process costing system. All materials are added at the beginning of the manufacturing process. The equivalent units for materials for the month is:
A)21,600 units
B)22,500 units
C)16,000 units
D)20,000 units

Question

The following information was obtained from the records of the first processing department of Bapst Corporation for the month of May.The company uses the FIFO method in its process costing system.  All materials are added at the beginning of the manufacturing process. The equivalent units for materials for the month is:
A)21,600 units 
B)22,500 units 
C)16,000 units 
D)20,000 units

Quizplus · Accepted Answer

Units started and completed = Units started into production during the period - Units in ending inventory
= 20,000 - 4,000 = 16,000
FIFO method equivalent units of production
 11eaa3fe_30df_1ba4_908b_8102600a6111_TB2461_00

The Following Information Was Obtained from the Records of the First