Umbrella Corporations production cycle starts in Department A. All Materials are added at the beginning of the process, and conversion costs are added evenly during the process. The following info is available for July:

Work-in-Process, July 1 (20% complete for conversion)--------------------------$50,000 units

Units started in July-------------------------------------------------------------------------240,000 units

Work-in-Process, July 31 (10% complete for conversion) --------------------------30,000 units

1. What are the equivalent units of production for materials using FIFO?

1. 240,000
2. 260,000
3. 275,000
4. 290,000

2. What are the equivalent units of production for conversion costs, using FIFO?

1. 253,000
2. 273,000
3. 214,000
4. 223,000

Notes:

• Please explain in detail how you would arrive with 240,000 EU in materials.
• Please explain in detail how you would arrive at 253,000 EU in conversion.
• What are the distinct differences between units to be accounted for and units accounted for?
• How do you find units started and completed?
• Please provide your explanations on computer if possible, as handwritten answers are difficult to read.
• This is a created example that does not fall under any copyright violations within the Chegg honor code.