The Converting Department of Soft Touch Towel and Tissue Company had 760 units i

ID: 2554440 • Letter: T

Question

The Converting Department of Soft Touch Towel and Tissue Company had 760 units in work in process at the beginning of the period, which were 60% complete. During the period, 16,000 units were completed and transferred to the Packing Department. There were 840 units in process at the end of the period, which were 60% 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 "0".

Soft Touch Towel and Tissue Company Number of Equivalent Units of Production Whole Units Direct Materials
Equivalent Units Conversion
Equivalent Units Inventory in process, beginning Started and completed Transferred to Packing Department Inventory in process, ending Total

Explanation / Answer

Soft Touch Towel and Tissue Company

Number of Equivalent Units of Production

Whole Units

Direct Materials
Equivalent Units

Conversion
Equivalent Units

Inventory in process, beginning

760 Units

304 Units

(75% Complete)

Started and completed

15240 Units***

15240 Units

Transferred to Packing Department

16000 Units

Inventory in process, ending

840 Units

504 Units

(840 * 60%)

Total

16840 Units

16504 Units

*** Started and completed = 16000 Units – 760 Units = 15240 Units

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