Reference no: EM132655638

DeFond Company has a process costing system. All materials are introduced at the beginning of the process in Department One. The following information is available for the month of January:

                                                                                                 Units

Work in process, July 1 (40% complete for conversion)       400
Started                                                                     2,000
Completed and transferred to Department                        21,900
Work in process, July 31 (60% complete for conversion)       500

Problem 1: What are the equivalent units for the month of July if the company uses the weighted-average method?

        Materials       Conversion

A)    2,400              2,000

B)    2,400               2,040

C)    2,400              2,200

D)    2,000             2,040

E)    2,000              2,200