Reference no: EM132540743

Point 1: On January 1st, 2019, NHL Inc. had a Beginning Work-in-Process balance of $20,000 ($10,000 of Direct Materials and $10,000 of Conversion) which consisted of 20,000 units which were 40% complete with respect to conversion costs.

Point 2: During January, NHL started production on an additional 40,000 units and incurred $30,000 in Materials and $50,000 in Conversion costs.

Point 3: NHL's Ending Work-In-Process consisted of 7,000 units which were 50% complete with respect to conversion costs.

Point 4: NHL produces a single product. All direct materials are added at the start of the production process while conversion costs are incurred uniformly.

Point 5: NHL uses a FIFO process costing system.

Question 1: With respect to materials costs, how many equivalent units of work did NHL perform during January?