Question

During the month of May, Gonzalez Clothing transferred 140,000 shirts to Finished Goods Inventory. There was no beginning work-in-process inventory. The company had 30,000 shirts in process at May 31 and the shirts were 50 percent complete with respect to conversion costs. All direct materials are added at the beginning of the production process. How many shirts were started during May

Answer 1

Answer:

170,000 shirts

Explanation:

Number of Units IN must equal number of units OUT

Number of shirts started = Number of Shirts transferred out + Number of Shirts in Process - Opening Work in Process

                                         = 140,000+30,000-0

                                         = 170,000

Therefore 170,000 shirts were started during May