Question: Please help with this using the attached forms (13.4B) Compute ompute equivalent units of production and cost per equivalent unit when there is abnormal spoilage;
(13.4B) Compute ompute equivalent units of production and cost per equivalent unit when there is abnormal spoilage; prepare a cost of production report when there is abnormal spoilage. (Objs. 2, 3, 4, 5). The second department in the production process of Knowles Plastic Case Company is the Assembly Department. Data for the department for the month of November 2006 are shown below. Costs Beginning Work in Process Transferred In Costs From Prior Department 20,900 14,000 Materials Labor 7,688 Overhead Costs in Current Department 10,000 Materials 350,080 184,000 373,376 392,800 Labor Overhead Costs Transferred In From Prior Department Quantities Beginning Work in Process Transferred In From Prior Department Transferred Out to Next Department Lost in Production-Normal Spoilage Lost in Production--Abnormal Spoilage Ending Work in Process 500 19,200 19,300 20 80 300 Stage of Completion of Work in Process Beginning Materials Labor and Overhead 100% 50% Ending Materials Labor and Overhead 100% 6096 The abnormal spoilage is discovered at the time of final inspection of the units as they leave the department and are transferred to the next department. It is therefore assumed that the units have been fully processed in the Assembly Department. (13.4B) Compute ompute equivalent units of production and cost per equivalent unit when there is abnormal spoilage; prepare a cost of production report when there is abnormal spoilage. (Objs. 2, 3, 4, 5). The second department in the production process of Knowles Plastic Case Company is the Assembly Department. Data for the department for the month of November 2006 are shown below. Costs Beginning Work in Process Transferred In Costs From Prior Department 20,900 14,000 Materials Labor 7,688 Overhead Costs in Current Department 10,000 Materials 350,080 184,000 373,376 392,800 Labor Overhead Costs Transferred In From Prior Department Quantities Beginning Work in Process Transferred In From Prior Department Transferred Out to Next Department Lost in Production-Normal Spoilage Lost in Production--Abnormal Spoilage Ending Work in Process 500 19,200 19,300 20 80 300 Stage of Completion of Work in Process Beginning Materials Labor and Overhead 100% 50% Ending Materials Labor and Overhead 100% 6096 The abnormal spoilage is discovered at the time of final inspection of the units as they leave the department and are transferred to the next department. It is therefore assumed that the units have been fully processed in the Assembly Department
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