Question

E17-26 (book/static) The assembly division of Quality Time Pieces, Inc. uses the FIFO method of process costing. Consider the following data for the month of May 2017 !!! (Click the icon to view the data.) Requirement Compute equivalent units for direct materials and conversion costs. Show physical units in the first column of your schedule. Enter the physical units in first, then calculate the equivalent units. Physical Data Table Units Conversion Costs $142,570 Flow of Production Work in process, beginning Started during current period To account for Completed and transferred out during current period: From beginning work in process Started and completed Work in process, ending Accounted for Equivalent unts of work done in current period 510 Physical Units Direct (Watches) Materials Beginning work in process (May 1)" 100 $469,888 Started in May 2017 Completed during May 2017 450 Ending work in process (May 31) Total costs added during May 2017 $3,237,000 "Degree of completion direct mari, conversion , 35% "Degree of completion direct , 80% conversion colo 100 $1,916,000 Print Done Enter any number in the edit fields and then click Check Answer. part remaining

Answer 1

Computation of Equivalent Production Units of Direct Material and Conversion Cost

Flow of Production	Physical Units
	Total	Direct Material	Conversion Cost
Work in Progress, beginning	100	20 (100 * 20% remaining)	65 (100 * 65% remaining)
Started during the period	510
To Account For	610
Completed and transferred during current period:
From beginning work in progress	100	0	0
Started and Completed (100%)	350	350	350
Work in Progress, ending	160	128 (160 * 80% completion)	64 (160 * 40% completion)
Equivalent units of work done in current period		498	479