Computing spoiled unit cost During September 10,000 units were transferred into the Finishing process center at a total cost of $465,000. The units are buffed and painted in finishing before transfer to the finished goods inventory. Additional manufacturing costs added in Finish- ing during September amounted to $4.80 per unit. Units are inspected right before they are transferred to finished goods. Any unit not passing inspection is sold to a salvage company for $8.50 each. In September, 500 units were rejected at inspection. There was no beginning or ending work in process inventory in Finishing during September.

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REQUIRED a. Compute the total cost of the spoiled units. b. Compute the per unit net cost of the spoiled units. c. If there was no beginning inventory in September compute the prorated share of spoiled unit cost assigned to each good unit.