(Step 1) (Step 2) Equivalent units Flow of production Physical units Transferred- in costs Direct materials Conversion costs Completed and transferred out during current period Add work in progress, closing (30 × 100%; 30 × 0%; 30 × 50%) Total accounted for Deduct work in progress, opening (40 × 100%; 40 × 0%; 40 × 75%) Transferred in during current period Work done in current period only 90 30 120 40 80 90 30 120 40 80 90 0 90 0 90 90 15 105 30 75 * Degree of completion in this department transferred-in costs, 100%; direct materials, 0%; conversion costs, 50%, calculated by dividing equivalent units for each cost element by the physical units. † Degree of completion in this department transferred-in costs, 100%; direct materials, 0%; conversion costs, 75%, calculated by dividing equivalent units for each cost element by the physical units.
