# 1. Inventory at the beginning of August in a particular department contained 10,000 units of goods...

###### Question:

1. Inventory at the beginning of August in a particular department contained 10,000 units of goods that were 40% complete for conversion. 25,000 units were completed and transferred out of the department during August. 2,000 were still in process at the end of August and were 50% complete for conversion. Assume there was no spoilage. The equivalent units to be used to get the average conversion costs per unit for the period under the FIFO method are:

1. 24,400

2. 19,600

3. 22,000

4. Cannot be determined with the given data.

2. Woodcraft Furniture had 90,000 foam cushions in beginning inventory in process as of May 1 (80% converted) and 20,000 cushions in process as of May 31 (50% converted) in its finishing department. During the month, 140,000 cushions were transferred out to finished goods warehouse from the Finishing department. Assume there was no spoilage. The equivalent units to be used to calculate average conversion costs for May for the Finishing department using the Weighted Average method are:

1. 66,000 cushions

2. 166,000 cushions

3. 132,000 cushions

4. 150,000 cushions

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