Barraza Corporation uses a weighted-average process costing system. Barraza has two direct materials. One of these materials is added at the beginning of the production process. The other material is added when processing is 50% complete. When will the equivalent units of production for these two materials be equal?
A)when processing on beginning work in process is less than 50% complete at the start of the period.
B)when processing on beginning work in process is more than 50% complete at the start of the period.
C)when processing on ending work in process is over 50% complete.
D)when processing on ending work in process is less than 50% complete.

Question

Quizplus · Accepted Answer

The equivalent units of production for both materials will be equal when the ending work in process is over 50% complete, as both materials would have been added by that point.

Barraza Corporation Uses a Weighted-Average Process Costing System