Question

The Mixing Department's output during the period consist of 20,000 units completed and transferred out and 5,000 units in ending work in process 60% as to materials and conversion costs. Beginning inventory is 1,000 units, 40% complete as to materials and conversion cost. The equivalent units of production are:

A. 2,000
B. 23,000
C. 24,000
D. 25,000

Answer 1

The equivalent units of production are 25,000 units.

Step-by-step explanation:

The equivalent units of production can be calculated by adding the units completed and transferred out to the units in ending work in process. In this case, the units completed and transferred out are 20,000 and the units in ending work in process are 5,000. Therefore, the equivalent units of production are 25,000 units.