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Managerial Accounting: The Corners...

7th Edition
Maryanne M. Mowen + 2 others
ISBN: 9781337115773

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BuyFindarrow_forward

Managerial Accounting: The Corners...

7th Edition
Maryanne M. Mowen + 2 others
ISBN: 9781337115773
Textbook Problem
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Equivalent Units, No Beginning Work in Process

Cardenas Pharmaceutical produces antibiotics. During April, Cardenas’s tableting department had the following data:

Chapter 6, Problem 32BEB, Equivalent Units, No Beginning Work in Process Cardenas Pharmaceutical produces antibiotics. During

Required:

Calculate April’s output for the tableting department in equivalent units of production.

To determine

Determine the output in equivalent units of production for tableting department of Company CP.

Explanation

Equivalent Units of Production:

The total units of finished goods along with those goods that are not fully complete are known as equivalent units of production. In other words, equivalent units of production measures both completed and nearly completed units.

Use the following formula to calculate the output for the welding department:

Output= Units completed+Total Units in EWIP×Fraction completed

Prepare table to show the calculation of output as shown below:

ParticularsEquivale

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