Question

Required information Problem 20-2A Weighted average: Cost per equivalent unit; costs assigned to products LO C2, C3 The following information applies to the questions displayed below. Victory Company uses weighted-average process costing to account for its production costs. Conversion cost is added evenly throughout the process. Direct materials are added at the beginning of the process. During November, the company transferred 760,000 units of product to finished goods. At the end of November, the work in process inventory consists of 207,000 units that are 80% complete with respect to conversion. Beginning inventory had $251,420 of direct materials and $138,840 of conversion cost. The direct material cost added in November is $1,682,580, and the conversion cost added is $2,637,960. Beginning work in process consisted of 77,000 units that were 100% complete with respect to direct materials and 80% complete with respect to conversion. Of the units completed, 77,000 were from beginning work in process and 683,000 units were started and completed during the period. Problem 20-2A Part 1 Required 1. Determine the equivalent units of production with respect to direct materials and conversion. Equivalent Units of Production (EUP)- Weighted Average Method EUP. Conversion Units % Materials EUP-Materials % Conversion Total units

Answer 1

Equivalent units of production (EUP)- weighted average method
	Units	% Materials	EUP- Materials	% Conversion	EUP- Conversion
						Units completed and transferred out	760,000	100%	760,000	100%	760,000
Ending goods in process - units	207,000	100%	207,000	80%	165,600
Total units	967,000		967,000		925,600