Question: PDX Company had the following production for the month of July.
|
Units
|
|
Work in process, July 1
|
6,000
|
|
Started during July
|
24,000
|
|
Completed and transferred to finished goods
|
18,000
|
|
Abnormal spoilage incurred
|
3,000
|
|
Work in process, July 31
|
9,000
|
Materials are added at the beginning of the process. As to conversion cost, work in process was 20% complete at the beginning and 70% complete at the end of the month. Spoilage is detected at the end of the process.
Using the weighted-average method, what are the equivalent units for July, with respect to conversion costs? Please show your steps in your post!