Question

A company's beginning Work in Process inventory consisted of 37,000 units that were 90% complete with respect to direct labor. A total of 107,000 were finished during the period and 42,000 remaining in Work in Process inventory were 50% complete with respect to direct labor at the end of the period. Using the weighted-average method, the equivalent units of production with regard to direct labor were:

Answer 1

Answer:

128,000 units

Explanation:

The calculation of the equivalent units of production using the weighted average method is given below:

= Total units of finished goods × completion percentage + ending work in process units × completion percentage

= 107,000 units × 100% + 42,000 units × 50%

= 107,000 units + 21,000 units

= 128,000 units

Hence, the equivalent units of production of direct labor is 128,000 units.