Question

Equivalent Units of Production The Converting Department of Hopkinsville Company had 1,160 units in work in process at the beginning of the period, which were 40% complete. During the period, 24,400 units were completed and transferred to the Packing Department. There were 1,280 units in process at the end of the period, which were 75% complete. Direct materials are placed into the process at the beginning of production. Determine the number of equivalent units of production with respect to direct materials and conversion costs. If an amount is zero, enter in "O". Hopkinsville Company Number of Equivalent Units of Production Whole Units 1,160 23,2401 Direct Materials Equivalent Units Conversion Equivalent Units 696 → Inventory in process, beginning Started and completed 23,240 Transferred to Packing Department 24,400 23,240 23,240 23,936 960 Inventory in process, ending 1,280 1,280 Total 25,680 24,520

Answer 1

Solution

HOPKINSVILLE COMPANY
Number of Equivalent units of Production
	Whole Units	Direct material Equivalent units	Conversion Equivalent units
Inventory In process, Beginning	1,160	-	696
Started And Completed	23,240	23,240	23,240
Transferred to packing Department	24,400	23,240	23,936
Inventory in Process,Ending	1,280	1,280	960
Total	25,680	24,520	24,896

Working

STEP 1 (FIFO)
Reconciliation of Units
	Units	% already completed		% completed this period
		Material	Conversion cost	Material	Conversion cost
Beginning WIP	1,160	100%	40%	0%	60%
Units introduced	24,520
Total units to be accounted for	25,680
Completed and Transferred unit	24,400	0%	0%	100%	100%
Ending WIP	1,280	0%	0%	100%	75%

.

STEP 2 (FIFO)
Equivalent Units
	Total Units	Material		Conversion cost
Units Transferred:		% completed this period	Equivalent Units	% completed this period	Equivalent Units
From WIP	1,160	0%	-	60%	696
From units started/Introduced	23,240	100%	23,240	100%	23,240
Total	24,400		23,240		23,936
	Total Units	Material		Conversion cost
Ending WIP		% completed this period	Equivalent Units	% completed this period	Equivalent Units
Total	1,280	100%	1,280	75%	960
Total EUP	25,680		24,520		24,896