Materials Are Added at the Beginning of the Process and Conversion

question 99

Multiple Choice

Materials are added at the beginning of the process and conversion costs are added uniformly. $\begin{array}{|l|r|}\hline \text { Work in process, beginning: } & \\\hline \text { Number of units } & 8,000 \\\hline \text { Transferred-in costs } & \$ 88,000 \\\hline \text { Direct materials (100\%) } & \$ 18,500 \\\hline \text { Conversion costs }(70 \%) & \$ 24,700 \\\hline \text { Units transferred-in: } & \\\hline \text { Number of units } & 45,000 \\\hline \text { Transferred-in costs } & \$ 630,000 \\\hline \text { Units completed } & 42,000 \\\hline \text { Costs during the period: } &\\\hline \text { Direct materials } & \$ 157,500 \\\hline \text { Conversion costs } & \$ 230,725 \\\hline \text { Work in process, ending: } & \\\hline \text { Number of units } &11,000 \\ \hline \begin{array}{l}\text { (100\% complete for materials and } 45 \% \\\text { complete for conversion) }\end{array} & \\\hline\end{array}$


- On March 31,what would be the total equivalent units for direct materials?

• A)39,000
• B)42,000
• C)50,000
• D)53,000

---

Definitions:

Store Brand

Products that are manufactured or provided by one company for offer under another company's brand, typically sold at lower prices in comparison to national brands.

Brand Manufacturer

A company that produces goods under its own name, as opposed to manufacturing products for other companies or brands.

Retail Pricing

The process of determining the selling price of products in retail stores, taking into account factors like cost of goods, market demand, and competition.

Trademark Status

The legal standing of a trademark, indicating its registration and protection status under trademark law.