Samantha's Office Supplies manufactures desk organizers in its Processing Department. Direct materials are included at the inception of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Inspection takes place as units are placed into production. After inspection, some units are spoiled due to undetectable material defects. Spoiled units generally constitute 3% of the good units. Data provided for February 2017 are as follows:
| WIP, beginning inventory 2/1/2017 | 51,600 units |
Direct materials (100% complete)
Conversion costs (60% complete)
| Started during February | 170,100 units |
| Completed and transferred out | 180,800 units |
| WIP, ending inventory 2/28/2017 | 26,800 units |
Direct materials (100% complete)
Conversion costs (30% complete)
Costs:
WIP, beginning inventory:
| Direct materials added | 408,800 |
| Conversion costs added | 264,100 |
What are the normal and abnormal spoilage units, respectively, for February when using FIFO?
◦ 3531 units; 3132 units
◦ 5103 units; 4014 units
◦ 5424 units; 8676 units
◦ 5424 units; 14,100 units
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