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Author Question: Outose Concept manufactures small tables in its Processing Department. Direct materials are added at ... (Read 107 times)

tth

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on: Mar 6, 2021
Outose Concept manufactures small tables in its Processing Department. Direct materials are added at the initiation of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Before inspection, some units are spoiled due to undetectable materials defects. Inspection occurs when units are 60% converted. Spoiled units generally constitute 6% of the good units. Data for December 2017 are as follows:

WIP, beginning inventory 12/1/201722,500 units
 Direct materials (100% complete)
 Conversion costs (75% complete)
Started during December76,700 units
Completed and transferred out 12/31/201772,300 units
WIP, ending inventory 12/31/201718,400 units
 Direct materials (100% complete)
 Conversion costs (65% complete)

Costs for December:
 WIP, beginning Inventory:
Direct materials$159,000
Conversion costs77,800
Direct materials added232,400
Conversion costs added293,000

What is the number of total spoiled units?
◦ 10,435 units
◦ 4338 units
◦ 4162 units
◦ 8500 units
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by tth on Mar 6, 2021

Bison

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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tth

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Reply 2 on: Mar 6, 2021
:D TYSM

kthug

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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