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21 May, 00:46

The Nichols Company uses the weighted-average method in its process costing system. The company recorded 29,500 equivalent units for conversion costs for November in a particular department. There were 6,000 units in the ending work in process inventory on November 30, 75% complete with respect to conversion costs. The November 1 work in process inventory consisted of 8,000 units, 50% complete with respect to conversion costs. A total of 25,000 units were completed and transferred out of the department during the month. The number of units started during November in the department was:

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  1. 21 May, 01:03
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    23,000 units

    Explanation:

    Beginning WIP inventory + Units started into production = Ending WIP inventory + Units completed and transferred out

    Units started into production = Ending WIP inventory + Units completed and transferred out - Beginning WIP inventory

    = 6,000 + 25,000 - 8,000 = 23,000
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