The primary objective in a process costing system is to allocate total manufacturing costs for an accounting period between

Units finished during the period and units still in process at the end of the period

Materials and conversion costs

Units in process at the beginning of the period and units started during the period

Units started during the period and units finished during the period

ABC Company has two processing departments (Mixing, Packaging). At the end of the month, ABC Company had 2,000 units on hand in the Packaging department. The units were 50% complete with respect to Packaging Materials costs and 40% complete with respect to Packaging Conversion costs. What were the equivalent units in ending inventory with respect to transferred-in (Mixing) costs?

2,000

1,000

600

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