compute the number of equivalent units with respect to direct materials using the weighted - average…

compute the number of equivalent units with respect to direct materials using the weighted - average method.\nbeginning work in process inventory\nunits started and completed\nunits completed and transferred out\nending work in process inventory\nmultiple choice\n158,000.\n23,000.\n135,000.\n126,900.\n181,000.\n\n| | units | direct materials percent complete | conversion percent complete |\n|--|--|--|--| \n| | 38,000 | 100% | 70% |\n| | 120,000 | | |\n| | 158,000 | | |\n| | 23,000 | 100% | 30% |

compute the number of equivalent units with respect to direct materials using the weighted - average method.\nbeginning work in process inventory\nunits started and completed\nunits completed and transferred out\nending work in process inventory\nmultiple choice\n158,000.\n23,000.\n135,000.\n126,900.\n181,000.\n\n| | units | direct materials percent complete | conversion percent complete |\n|--|--|--|--| \n| | 38,000 | 100% | 70% |\n| | 120,000 | | |\n| | 158,000 | | |\n| | 23,000 | 100% | 30% |

Answer

Explanation:

Step1: Recall equivalent - units formula

The formula for equivalent units of production using the weighted - average method for direct materials is: Equivalent units = Units completed and transferred out+ (Ending work in process inventory×Direct materials percent complete).

Step2: Identify values

Units completed and transferred out = 158,000. Ending work in process inventory = 23,000 and direct materials percent complete for ending work in process = 100%.

Step3: Calculate equivalent units

Equivalent units = 158,000+(23,000×1) = 158,000 + 23,000=181,000.

Answer:

181,000