Big Show Clothing Had 40,000 Shirts in Process at May

Big Show Clothing had 40,000 shirts in process at May 31 (50% converted) . All direct materials are added at the beginning of the production process. During the month 140,000 shirts were transferred to Finished Goods Inventory. There was no beginning inventory. The equivalent units for conversion costs for May are:

A) 160,000 shirts
B) 118,000 shirts
C) 180,000 shirts
D) 140,000 shirts

Correct Answer:

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