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Units Work-in-process, April 1 (25% complete) 40,000 Total units in process during April 280,000 Work-in-process, April 30 (60% complete) 25,000 Materials are added at the beginning of the process in the Processing Department. What are the equivalent units of production for the month of April, assuming Madison uses the weighted-average method? Materials Conversion Costs A. 240,000 260,000 B. 255,000 235,000 C. 280,000 270,000 D. 315,000 285,000

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abiolataiwo2015

Answer:

C.280,000 270,000

Explanation:

25% × 40,000 = 10,000

60%× 25,000= 15,000

15,000+ 10,000 = 25,000

(280,000- 25,000) = 255,000

Therefore:

255,000 (started and completed) + 25,000

(ending inventory)

=280,000

Conversion costs: 255,000 + 25,000 (.60)

= 270,000

The equivalent units of production for the month of April, assuming Madison uses the weighted-average method is 280,000 270,000

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