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Goode Company has the following production data for selected months:

Ending Work in Process
Month Beginning Work in Process Units Transferred Out Units % Complete as to Conversion Cost
January -0- 36,270 11,400 40%
March -0- 42,710 8,520 75
July -0- 46,330 19,600 25

Compute equivalent units of production for materials and conversion costs, assuming materials are entered at the beginning of the process.

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Parrain

Answer:

January

Equivalent Units of Production:

= Units transferred out + Ending work in process

= 36,270 + 11,400

= 47,670 units

Equivalent Units of Conversion

= Units transferred out + Ending work in process * Percentage complete

= 36,270 + 11,400 * 40%

= 40,830 units

March

Equivalent Units of Production

= 42,710 + 8,520

= 51,230 units

Equivalent units of Conversion

= 42,710 + 8,520 * 75%

= 49,100 units

July

Equivalent Units of Production

= 46,330 + 19,600

= 65,930 units

Equivalent units of Conversion

= 46,330 + 19,600 * 25%

= 51,230 units

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