Answered

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Assembly department of Zahra Technologies had 100 units as work in process at the beginning of the month. These units were 50% complete. It has 200 units which are 25% complete at the end of the month. During the month, it completed and transferred 500 units. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production. Zahra uses weighted-average process-costing method.

What is the number of equivalent units of work done during the month for direct materials? (HINT: The answer is 700 units, but I need work to support it)

Sagot :

Answer: 700

Explanation:

The number of equivalent units of work done during the month for direct materials will be:

Completed and transferred units = 500

Ending work in process inventory = 200

Number of equivalent units = 500 + 200 = 700

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