Question

3) Janner Corporation uses the weighted-average method in its process costing system. Operating data for the Painting Department for the month of April appear below: Units Percent Complete with Respect to Conversion Beginning work in process inventory 4,000 50 % Transferred in from the prior department during April 90,400 Ending work in process inventory 1,600 60 % What were the equivalent units for conversion costs in the Painting Department for April?

Answer 1

Answer:

93,760 units

Explanation:

For computing the equivalent units for conversion costs , first we have to compute the transferred units which is shown below:

= Transferred units - ending work in process inventory units

= 90,400 units - 1,600 units

= 88,800 units

Now the equivalent units for conversion costs equal to

= Beginning work in process inventory units × completed percentage + Transferred units × percentage of completion + ending work in process inventory units × percentage of completion

= 4,000 units × 100% +  88,800 units × 100% + 1,600 units × 60%

= 4,000 units + 88,800 units + 960 units

= 93,760 units