Answer:
67,800 ounces
Explanation:
The amount of units produced by the manufacturer in a period is called equivalent units of production. It is calculated for the unit under process. We use the percentage of completion to calculate this. It includes the completed units and partially completed units.
In respect of Material
Units completed = 64,600 ounces
Partially completed = 3,200 (80% completed)
Equivalent Units Β = Unit completed and transferred to Finished goods + Units in Work in Process x Completion percentage
Because the material is added at the beginning so all the units are considered as Equivalent units
Equivalent Units Β = 64,600 + 3,200= 67,800 ounces
Answer:
The total equivalent units for direct materials if materials are added at the beginning of the process =
63,900
Explanation:
Since the direct materials are added at the beginning of the process, it simply means they are 100% complete
β’ Units started and completed=
(64,600-3,900) * 100%
= 60,700 * 100%
= 60,700
β’ Ending work in progress =
3,200 * 100%
= 3,200
Total equivalent units for direct materials if the materials are added at the beginning of the process=
60,700 + 3200
= 63,900
