Answer (B) is correct . Under the FIFO method, EUP for materials equal 104,000 [(16,000 units in BWIP ¡Á 40%) + (76,000 units started and completed ¡Á 100%) + (24,000 units in EWIP ¡Á 90%)]. Consequently, the equivalent unit cost of materials is $4.50 ($468,000 total materials cost in May ¡Â 104,000 EUP).
Answer (A) is incorrect because The amount of $4.12 is based on EUP calculated under the weighted-average method.
Answer (C) is incorrect because The amount of $4.60 is the weighted-average cost per equivalent unit.
Answer (D) is incorrect because The amount of $4.80 omits the 6,400 EUP added to beginning work-in-process.
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Using the FIFO method, Kimbeth’s equivalent unit cost of materials for May is
