Exercise 8-33 & 8-34 (LO 8-5)

The Matsui Lubricants plant uses the FIFO method to account for its work-in-process inventories. The accounting records show the following information for a particular day:

Beginning WIP inventory
Direct materials	$	980
Conversion costs		302
Current period costs
Direct materials		12,208
Conversion costs		7,788

Quantity information is obtained from the manufacturing records and includes the following:

Beginning inventory	550	units	(70% complete as to materials, 60% complete as to conversion)
Current period units started	4,200	units
Ending inventory	1,100	units	(50% complete as to materials, 20% complete as to conversion)

References

Section BreakExercise 8-33 & 8-34 (LO 8-5)

4.

value: 16.66 points

Required information

Exercise 8-33 Compute Costs per Equivalent Unit: FIFO Method (LO 8-5)

Required:

(1) Compute the equivalent units for the materials and conversion cost calculations.