If 16,000 units of materials enter production during the first year of operations, 12,000 of the units are finished, and 4,000 are 75% completed, the number of equivalent units of production would be 15,000.

Question

Brandon Marzula · Accepted Answer

Final Answer : True, Explanation :  To find the equivalent units of production, we need to add together the units that are fully completed and the proportion of units that are partially completed.Fully completed units = 12,000Partially completed units = 4,000 x 75% = 3,000Total equivalent units of production = 12,000 + 3,000 = 15,000Therefore, the statement is true.

If 16,000 units of materials enter production during the first year of operations, 12,000 of the units are finished, and 4,000 are 75% completed, the number of equivalent units of production would be 15,000.

Definitions

Learning Objectives

Learning Objectives

Related questions