A production department's output for the most recent month consisted of 8,800 units completed and transferred to the next stage of production and 5,800 units in ending Work in Process inventory. The units in ending Work in Process inventory were 50% complete with respect to both direct materials and conversion costs. Calculate the equivalent units of production for the month, assuming the company uses the weighted average method.

11,700 units

Explanation:

Calculation for the equivalent units of production for the month, assuming the company uses the weighted average method

Unit completed and transferred to the next stage 8,800 units

Add Unit in ending goods in process inventory 2,900 units

(5,800 units*50%)

Equivalent units of production 11,700 units

(8,800 units+2,900 units)

Therefore the equivalent units of production for the month, assuming the company uses the weighted average method will be 11,700 units

(a) when insurance is obtained through a reciprocal insurer, the insureds are sharing the risk of loss with other subscribers of that reciprocal.

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