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Beginning inventory (30% complete as to Material B and 60% complete for conversion) 700 units
Started this cycle 2,000 units
Ending inventory (50% complete as to Material B and 80% complete for conversion) 500 units
Beginning inventory costs:
Material A $14,270
Material B 5,950
Conversion 5,640
Current Period costs:
Material A $40,000
Material B 70,000
Conversion 98,100

Material A is added at the start of production, while Material B is added uniformly throughout the process.
Refer to Saturn Corporation Assuming a FIFO method of process costing, compute EUP units for Materials A and B.

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Based on the FIFO method, the quantity of materials and the ending work in process, the EUP materials are:

  • Material A - 2,000 units.
  • Material B - 2,240 units.

What are the Equivalent Units of Production (EUP)?

The EUP for Material A is:

= Beginning work in process + United started and completed + Ending Work in process

= 0 + 2,000 + 0

= 2,000 units

The EUP for Material B is:

= Beginning work in process + United started and completed + Ending Work in process

= (700 x 70%) + 1,500 + 250

= 2,240 units

Find out more on Equivalent Units of Production at https://brainly.com/question/16259709.

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