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Last updated 4:13 PM on 9/10/26
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4 Terms

1
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what is the equation for equivalent production

#sold + (#in WIP x EU%) = equivalent production


2
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how to allocate the costs for each section (DM, DL, MOH)

for IS: #sold x cost per EU

for BS: #equivalent units x cost per EU

3
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where do production costs go (that are attached to products sold)


where do production costs go (that are not sold yet)

sold: expensed on IS

not sold: capitalized on BS

4
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how to calculate the EU in WIP?

EU in WIP = % compete x count of partial units