Question
Pizza Company produces frozen pizzas in three departments: assembly, freezing and packaging. In assembly, crust ingredients are added at the beginning of the process. After
Pizza Company produces frozen pizzas in three departments: assembly, freezing and packaging. In assembly, crust ingredients are added at the beginning of the process. After the crust is made, the sauce, cheese, and toppings are added at the end of the process. Conversion costs are added evenly. Data for the assembly department includes:
Beginning WIP inventory
0 units
Units started
22,000 units
Units completed/transferred to freezing
19,800 units
Ending WIP (70% through assembly)
2,200 units
Crust ingredients added
$31,000
Cheese added
$16,000
Sauce and toppings added
$8,000
Direct labour
$22,216
Manufacturing overhead
$5,486
At the end of the period, what are the total equivalent units for cheese, sauce and toppings?
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