[Anonymous]

I am taking BEC within a week. I am still having much difficult time understanding how to calculate EUP using FIFO method. Could somebody explain to me and what formula to use to this? Thanks!!!

[Anonymous]

Just posted this on another thread but I find this very helpful:

WA = 2 Letters, 2 Components

Completed (100% of units)

+ WIP End (% completed)

= WA E.U.

FIFO = 4 Letters, 4 Components

Beg (1 – % Complete)

+ Completed (100% of units)

– Beg (100% of units)

+ End (% Complete)

= FIFO E.U.

I found that to be the most simple way to remember it by the number of letters that are in the EU calc name. Hope that helps you as it helps me!

[Whopper Warrior]

To build off what @cpaapache wrote:

If you combined Beginning wip (1-% complete) – Beginning wip = – (Begining Wip * % to complete)

The math:

Beg wip (1 – % to complete) – Beg wip =

Beg Wip – % to complete * Beg wip – Beg wip

(Beg wip cancels, left with % to complete * beg wip)

Whats left when the smoke clears?

Units Completed

+ Ending wip (% complete)

= Weighted Average

-Beginning Inventory (% complete)

=FIFO

ALL 4 parts passed summer 13
Ethics October 13
Experience (waiting)

Becker Only

[Author]

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