A company uses the weighted average method for inventory costing. During a period, Department B finished and transferred 67,000 units to Department C. Also in Department B during the period, 18,500 units were started but brought only to a stage of being 60% completed. The number of equivalent units produced by Department B during the period was:

78,100 units

Explanation:

Calculation for the number of equivalent units produced by Department B

Using this formula

Department B Number of equivalent units =

Units finished and transferred from Department B to Department C + (Units that were started in Department B × Percentage completed)

Let plug in the formula

Department B Number of equivalent units= 67,000 units + (18,500 units × 60%)

Department B Number of equivalent units= 67,000 units + 11,100 units

Department B Number of equivalent units= 78,100 units

Therefore The number of equivalent units produced by Department B during the period was 78,100 units

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