8. The D Manufacturing Company uses a process cost system. In the second department, Department X, spoiled units occur during operations. Inspection of spoiled units occurs when units are 70% complete. Direct materials are added at the end of the process. Conversion costs are incurred evenly throughout the process. Spoiled goods are considered by management as internal failure and charged to Factory Overhead Control account. Data pertaining to December's activity in Department X are shown below: Units Costs Beginning in process - 90% complete 17,000 Cost from preceding department P 9,110.00 Direct labor 5,377.50 Factory overhead applied 3,375.00 Received from preceding department (Dept. W) 38,000 48,640.00 Added during the period: Direct materials P38,000.00 Direct labor 30,217.50 Factory overhead applied 14,931.00 Units transferred to next department 40,000 Spoiled units 8,000 Ending units in process - 75% complete ? Required: Prepare a cost of production report for Department X using average and fifo methods. 9. Edwin Company uses average costing in accounting for its three manufacturing departments. Department 2 receives units from Department I and applies conversion costs to these units at a uniform rate. When the units are 80% complete, they are inspected and material is then added to the good units. A Department 2 spoilage rate of 5% is considered normal. For December, the following information is available: (a) 3,000 units were in process on December 1, estimated to be 30% complete, with cost from Department 1 of P15,960 and Department 2 costs of P2,726. (b) 32,000 units were received from Department I at a cost of P180,000. (c) Department 2 costs were: materials, P12,075; conversion, P96,700. (d) 30,000 units were completed and transferred to Department 3. (e) 4,500 units were in process December 31, estimated to be 90% complete. Required: Prepare a cost of production report. 10. M Company uses process costing. All materials are added at the beginning of the process. The product is inspected when it is 80% converted, and spoilage is identified only at that point. Normal spoilage is expected to be 3% of good output. During March, 10,500 units were put into process. Current costs were P52,530 for materials; P39,933 for labor; and P29,580 for factory overhead. The 3,000 units still in process at the end of March were estimated to be 90% complete. A total of 7,000 units were transferred to finished goods. Required: Prepare a cost of production report