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otez555 [7]
3 years ago
8

Lakeland Chemical manufactures a product called Zing. Direct materials are added at the beginning of the process, and conversion

activity occurs uniformly throughout production. The beginning work-in-process inventory is 70% complete with respect to conversion; the ending work-in-process inventory is 10% complete. The following data pertain to May: Units Work in process, May 1 15,200 Units started during May 66,800 Units completed and transferred out 73,100 Work in process, May 31 8,900 Total Direct Materials Conversion Costs Costs: Work in process, May 1 $56,600 $22,700 $33,900 Costs incurred during May 328,400 78,400 250,000 Totals $385,000 $101,100 $283,900 Using the weighted-average method of process costing, the equivalent units of direct materials total:________
Business
1 answer:
Ulleksa [173]3 years ago
4 0

Answer:

Lakeland Chemical

Equivalent Units of Direct Materials total 82,000 units.

Explanation:

1. Calculations:

Beginning Work in process Inventory = 15,200 (100% complete)

Direct materials started in May =           66,800 (100% complete)

Equivalent units of direct materials =    82,000 units

2. The equivalent units of direct materials is the sum of equivalent unit of beginning inventory and the units added during the period.

3. The equivalent cost of the direct materials is the sum of the equivalent costs of beginning and the costs of units added during the period.

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