Question - Bears, Inc., adds materials at the beginning of the process in Department MO. The following information on physical units for Department MO for the month of July is available:
Work in process, July 1 (75% complete with respect to conversion) 9,000
Started in July 60,000
Completed 60,000
Work in process, July 31 (60% complete with respect to conversion) 9,000
a) Compute the equivalent units for materials costs AND for conversion costs using the weighted-average method.
b) Compute the equivalent units for materials costs AND for conversion costs using the FIFO method.