Question

Units of production data for the two departments of Pacific Cable and Wire Company for November of the current fiscal year are as follows:

Drawing Department Winding Department
Work in process, November 1 5,000 units, 40% completed 3,200 units, 80% completed
Completed and transferred to next
processing department during November 95,000 units 95,100 units
Work in process, November 30 6,200 units, 60% completed 3,100 units, 15% completed

Required:
If all direct materials are placed in process at the beginning of production, determine the direct materials and conversion equivalent units of production for November for the Drawing Department.

Answer 1

Answer and Explanation:

The computation of the equivalent units for direct material and conversion is shown below:

Particulars Total units Direct materials Conversion

Inventory in process,

November 1 5000 0 3000

Started and

completed in November 90000 90000 90000

Transferred to Winding

Department in November 95000 90000 93000

Inventory in process,

November 30 6200 6200 3720

Total 101200 96200 96720