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Sumptuous Beer Corporation manufactures beer in two departments, Fermenting and Bottling. In the ...

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Sumptuous Beer Corporation manufactures beer in two departments, Fermenting and Bottling. In the ...

Sumptuous Beer Corporation manufactures beer in two departments, Fermenting and Bottling. In the Fermenting Department, ingredients are placed in a large vat and fermented for three days. The beer is then transferred over to Bottling where it is further purified and bottled. Sumptuous uses a FIFO process cost system to collect costs in both departments. On May 1, the Fermenting Department had 32,000 gallons (units) in process. These gallons were 100% complete with respect to materials (ingredients) and 80% complete with respect to conversion cost. During May, Fermenting started an additional 460,000 gallons into production. On May 31, Fermenting had 18,000 gallons in work in process. These gallons were 100% complete with respect to materials and 60% complete with respect to conversion cost.

What are the Fermenting Department's equivalent units (gallons) of production related to materials for May?

▸ 442,000

▸ 460,000

▸ 474,000

▸ 492,000

Textbook

Introduction to Managerial Accounting: Brewer Edition: 9e

Edition: 9^th

Authors: Brewer, Garrison, Noreen

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