Question

The Phantom Corporation started 6,700 units during February. Phantom started the month with 890 units in process (40% complete) and ended the month with 590 units in process (40% complete). How many units were transferred to the Finished Goods Inventory during February

Answer 1

Answer:

7,000 units

Explanation:

The units which were transferred to the Finished goods inventory during the month of February is computed as:

Units transferred to Finished goods inventory = Started units during February + Started the month with units in process - Ended the month with units in process

where

Started units during February is 6,700

Started the month with units in process is 890

Ended the month with units in process is 590

Putting the values above:

Units transferred to Finished goods inventory = 6,700 + 890 - 590

Units transferred to Finished goods inventory = 7,590 - 590

Units transferred to Finished goods inventory = 7,000