A company using process operations started and processed 400 units in its first department. The units are 40% complete with respect to materials and 25% complete with respect to labor and overhead.
The EUP for materials is .

160 units

Explanation:

Given that

Started and processed units = 400 units

Completed percentage with respect to materials = 40%

Completed percentage with respect to labor and overhead = 25%

So by considering the above information, the equivalent units of production for material is

= Started and processed units × Completed percentage with respect to materials

= 400 units × 40%

= 160 units

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation: