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Question - O' Brian Enterprises makes Perfect Shampoo for professional hair stylists. On July 31, had 5,000 liters of shampoo in process that were 80% complete in regard to conversion costs and 100% complete in regard to direct material costs. During August, it put 210,000 liters of direct materials into production. Data for Work in Process inventory on August 31 were as follows: shampoo, 10,000 liters: stage of completion, 60% for conversion costs and 100% for direct materials. Using the FIFO method, compute the equivalent units of production for direct materials and conversion costs for the month.
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