Direct Disk Drive Company Operates a Computer Disk Manufacturing Plant $\quad\quad 150,000$

Multiple Choice

Direct Disk Drive Company operates a computer disk manufacturing plant.Direct materials are added at the end of the process.The following data were for August 20X5: Work in process, beginuing inventory $\quad\quad 150,000$ units
Transferred-in costs ( $100 \%$ complete)
Direct materials ( $0 \%$ complete)
Conversion costs ( $90 \%$ complete)

$\begin{array}{ll}\text { Transferred in during current period } & 450,000 \text { units } \\\text { Completed and transferred out } & 400,000 \text { units }\end{array}$

Work in process, ending inventory $\quad\quad\quad\quad 200,000$ units
Transferred-in costs ( $100 \%$ complete)
Direct materials ( $0 \%$ complete)
Conversion costs ( $65 \%$ complete)

Calculate equivalent units for conversion costs using the FIFO method.

A) 401,500 units
B) 350,000 units
C) 300,000 units
D) 395,000 units