Fish Fillet Incorporated obtains fish and then processes them into frozen fillets and then prepares the frozen fish fillets for distribution to its retail sales department. Direct materials are added at the initiation of the cycle. Conversion costs are incurred evenly throughout the production cycle. Before inspection, some fillets are spoiled due to undetectable defects. Spoiled fillets generally constitute 5% of the good fillets. Data for April 2017 are as follows:
| WIP, beginning inventory 4/1/2017 | 95,000 fillets |
Direct materials (100% complete)
Conversion costs (60% complete)
| Started during April | 136,000 fillets |
| Completed and transferred out 4/30/2017 | 184,000 fillets |
| WIP, ending inventory 4/30/2017 | 25,000 fillets |
Direct materials (100% complete)
Conversion costs (30% complete)
Costs for April:
WIP, beginning Inventory:
| Direct materials added | 300,000 |
| Conversion costs added | 387,130 |
Normal spoilage totals ________.
◦ 9200 units
◦ 0 units
◦ 22,000 units
◦ 12,800 units
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