(Appendix 6A)On November 1,Yankee Company Had 20,000 Units of Work

Multiple Choice

(Appendix 6A) On November 1,Yankee Company had 20,000 units of work in process in Department No.1 that were 100% complete with respect to material costs and 20% complete with respect to conversion costs.During November,160,000 units were started in Department No.1,and 170,000 units were completed and transferred to Department No.2.The work in process on November 30 was 100% complete with respect to material costs and 40% complete with respect to conversion costs.By what amount would the equivalent units of production for conversion costs for the month of November differ if the FIFO method were used instead of the weighted-average method?

A) 20,000 decrease.
B) 16,000 decrease.
C) 8,000 decrease.
D) 4,000 decrease.W.Avg.: EU = 170,000 + 10,000 * .4 = 174,000 EU