MicroMem is a fast-growing manufacturer of computer chips. Direct materials are added at the start of...

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MicroMem is a fast-growing manufacturer of computer chips. Direct materials are added at the start of the production process. Conversion costs are added evenly during the process. Some units of this product are spoiled as a result of defects not detectable before inspection of finished goods. Spoiled units are disposed of at zero net disposal value. MicroMem uses the FIFO method of process costing Summary data and weighted-average data for September 2017 are as follows: (Click the icon to view the data.) Read the requirements (Click the icon to view the weighted-average data.) Requirement 1. For each cost category, compute equivalent units. Show physical units in the first column of your schedule. Enter the physical units in first, then calculate the equivalent units. (Complete all input fields Enter a "0" for applicable zero amounts.) Equivalent Units: Physical Flow of Production Units Materials Direct Conversion Costs Work in process beginning 1,000 2,780 Started during current period 3,780 To account for Completed and transferred out during current period From beginning work in process Started and completed 1,000 1,600 200 MicroMem is a fast-growing manufacturer of computer chips. Direct materials are added at the start of the schedule. Enter the physical units in first, then calculate the equivalent units. (Complete all input fields. Enter a "0" for applicable zero amounts.) Equivalent Units Physical Direct Conversion Flow of Production Units Materials Costs Work in process beginning 1,000 Started during current period 2,780 3,780 To account for Completed and transferred out during current period From beginning work in process Started and completed Normal spoilage Abnormal spoilage Work in process, ending Accounted for Equivalent units of work done in current period 1,000 1,600 390 290 500 3,780 Data table 1 2 Work in process, beginning inventory (September 1) 3 Degree of completion of beginning work in process 4 Started during September 5 Good units completed and transferred out during September 6 Work in process, ending inventory (September 30) 7 Degree of completion of ending work in process 8 Total costs added during September 9 Normal spoilage as a percentage of good units 10 Degree of completion of normal spoilage 11 Degree of completion of abnormal spoilage B Physical Units (Computer Chips) Print Done Direct Materials 1,000 S 160,640 $ 100% I D Conversion Costs 15,810 30% 2,780 2,600 500 100% 30% $ 572,680 S 272,310 15% 100% 100% 100% 100% Weighted-average-data Cost per equivalent unit for work done to date Total Production Direct Costs Materials $ 194.00 $ Conversion Costs 84.00 Cost of units completed and transferred out 831,220 $ 580,060 $ 251,160 Abnormal spoilage 80,620 56,260 24,360 Work in process, ending 109,600 97,000 12,600 Total costs accounted for 1,021,440 $ 733,320 $ 288,120 Print Done To account for Completed and transforrad out during 700 nodod Requirements 1. For each cost category, compute equivalent units. Show physical units in the first column of your schedule. 2. Summarize the total costs to account for, calculate the cost per equivalent unit for each cost category; and assign costs to units completed and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in process 3. Should MicroMem's managers choose the weighted-average method or the FIFO method? Explain briefly. Print Done Started during current period 2,780 - X MicroMem is a fast-growing manufacturer of computer chips. Direct materials are added at the start of the production process. Conversion costs are added evenly during the process. Some units of this product are spoiled as a result of defects not detectable before inspection of finished goods. Spoiled units are disposed of at zero net disposal value. MicroMem uses the FIFO method of process costing Summary data and weighted-average data for September 2017 are as follows: (Click the icon to view the data.) Read the requirements (Click the icon to view the weighted-average data.) Requirement 1. For each cost category, compute equivalent units. Show physical units in the first column of your schedule. Enter the physical units in first, then calculate the equivalent units. (Complete all input fields Enter a "0" for applicable zero amounts.) Equivalent Units: Physical Flow of Production Units Materials Direct Conversion Costs Work in process beginning 1,000 2,780 Started during current period 3,780 To account for Completed and transferred out during current period From beginning work in process Started and completed 1,000 1,600 200 MicroMem is a fast-growing manufacturer of computer chips. Direct materials are added at the start of the schedule. Enter the physical units in first, then calculate the equivalent units. (Complete all input fields. Enter a "0" for applicable zero amounts.) Equivalent Units Physical Direct Conversion Flow of Production Units Materials Costs Work in process beginning 1,000 Started during current period 2,780 3,780 To account for Completed and transferred out during current period From beginning work in process Started and completed Normal spoilage Abnormal spoilage Work in process, ending Accounted for Equivalent units of work done in current period 1,000 1,600 390 290 500 3,780 Data table 1 2 Work in process, beginning inventory (September 1) 3 Degree of completion of beginning work in process 4 Started during September 5 Good units completed and transferred out during September 6 Work in process, ending inventory (September 30) 7 Degree of completion of ending work in process 8 Total costs added during September 9 Normal spoilage as a percentage of good units 10 Degree of completion of normal spoilage 11 Degree of completion of abnormal spoilage B Physical Units (Computer Chips) Print Done Direct Materials 1,000 S 160,640 $ 100% I D Conversion Costs 15,810 30% 2,780 2,600 500 100% 30% $ 572,680 S 272,310 15% 100% 100% 100% 100% Weighted-average-data Cost per equivalent unit for work done to date Total Production Direct Costs Materials $ 194.00 $ Conversion Costs 84.00 Cost of units completed and transferred out 831,220 $ 580,060 $ 251,160 Abnormal spoilage 80,620 56,260 24,360 Work in process, ending 109,600 97,000 12,600 Total costs accounted for 1,021,440 $ 733,320 $ 288,120 Print Done To account for Completed and transforrad out during 700 nodod Requirements 1. For each cost category, compute equivalent units. Show physical units in the first column of your schedule. 2. Summarize the total costs to account for, calculate the cost per equivalent unit for each cost category; and assign costs to units completed and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in process 3. Should MicroMem's managers choose the weighted-average method or the FIFO method? Explain briefly. Print Done Started during current period 2,780 - X