Reference no: EM132633665

Problem 1: Kentucky Corporation uses a process-cost accounting system. The company adds direct materials at the start of its production process; conversion cost, on the other hand, is incurred evenly throughout manufacturing. The firm has no beginning work-in-process inventory; its ending work in process is 40% complete. Which of the following sets of percentages would be used to calculate the correct number of equivalent units in the ending work-in-process inventory?

A. Materials, 40%; conversion cost, 40%.

B. Materials, 40%; conversion cost, 100%.

C. Materials, 100%; conversion cost, 40%.

D. Materials, 100%; conversion cost, 60%.

E. Materials, 100%; conversion cost, 100%.

Problem 2: Haskins Textile Co. manufactures a variety of fabrics. All materials are introduced at the beginning of production; conversion cost is incurred evenly through manufacturing. The Weaving Department had 2,000 units of work in process on April 1 that were 30% completed as to conversion costs. During April, 9,000 units were completed and on April 30, 4,000 units remained in production, 40% complete with respect to conversion costs.

The equivalent units of direct materials for April total:

A. 9,000.

B. 13,000.

C. 13,600.

D. 14,400.

E. 15,000.