Answer:
Total equivalent units 720,240 units
Explanation:
<em>Equivalent Units E.U) are notional whole units which represent incomplete work and are used to apportion costs between between work in progress and completed work.</em>
Equivalent Units = Degree of completion (%) × units
Under the weighted average method of valuation, to account for completed units, it is assumed that the entire degree of work required is done in the period under consideration. So there is no separation of the completed units into opening inventory and fully worked.
so we assumed that the 688,000 units were started and completed in the same period .
Item unit Equivalent unit
Completed and trans. 688,000 688,000× 100% = 688,000
Closing WIP 85,600 85,600 × 40% = <u>34,240
</u>
Total equivalent unit <u> 720,240
</u>
