Refer to Short Exercise S18A-13. At Spring Rain, water is added at the beginning of the filtration process. Conversion costs are added evenly throughout the process. Now assume that in February, 80,000 liters were completed and transferred out of the Filtration Department into the Bottling Department. The 20,000 liters remaining in Filtration’s ending Work-in-Process Inventory were 70% of the way through the filtration process. Recall that Spring Rain has no beginning inventories. Compute the equivalent units of production for direct materials and conversion costs for the Filtration Department using the FIFO method.
In exercise
Wages of workers operating filtration equipment......$ 20,950
Manufacturing overhead allocated to filtration........ 24,050
Water...................... 170,000