EA13.

LO 5.3A company started the month with 8,329 units in work in process inventory. It started 23,142 units and had an ending inventory of 9,321. The units were 100% complete to materials and 67% complete with conversion. How many units were transferred out during the period?

Units transferred out during the period

Material Conversion

Units Units

Beginning work-in-progress 8,329 5,580

Units started during the period 23,142 15,505

Ending work-in-progress (9,321) (6,245)

Units transferred out 22,150 14,840

Explanation:

Units transferred out during the period is the aggregate of beginning work-in-progress and units started during the period minus ending work-in-progress. Since the conversion is 67% complete, it means we will apply 67% on beginning work-in-progress of 8,329 units in order to obtain the beginning inventory of conversion. Moreso, 67% will be applied on the units started during the period of 23,142 units to obtain the units started for conversion. We will also apply 67% to the ending work-in-progress of 9,321 units so as to obtain the ending work-in-progress of conversion.