Unformatted text preview: In computing equivalent units, the beginning work in process is not part of the equivalent-units-of-production formula. FIFO Method Using the FIFO method, equivalent units are the sum of the work performed to: 1. Finish the units of beginning work in process inventory 2. Complete the units started into production during the period (referred to as the units started and completed).---Transfer out-- Beg WIP 3. Start, but only partially complete, the units in the ending work in process inventory....
View Full Document
- Spring '11
- Managerial Accounting, Weighted mean, Conversion of units, FIFO and LIFO accounting, equivalent units, Equivalent Units Summarize