A Company Uses a Process Costing System

Multiple Choice

A company uses a process costing system.Its Weaving Department completed and transferred out 120,000 units during the current period.The ending inventory in the Weaving Department consists of 40,000 units (20% complete with respect to direct materials and 60% complete with respect to conversion costs) . Determine the equivalent units of production for the Weaving Department for direct materials and conversion costs assuming the weighted average method.

A) 120,000 materials; 120,000 conversion.
B) 120,000 materials; 160,000 conversion.
C) 128,000 materials; 120,000 conversion.
D) 128,000 materials; 144,000 conversion.
E) 128,000 materials; 184,000 conversion.