What are the equivalent units for materials for the month in the first processing department?
A)4,500
B)5,600
C)400
D)4,945

Question

Quizplus · Accepted Answer

The equivalent units for materials for the month in the first processing department can be calculated using the weighted average method as follows:

Equivalent units = Units completed and transferred out + Equivalent units in ending work in process inventory
Equivalent units = 11,000 + (30% x 5,000)
Equivalent units = 11,000 + 1,500
Equivalent units = 12,500

Therefore, the correct answer is D) 4,945.

What Are the Equivalent Units for Materials for the Month