19-30 Weighted-average method, spoilage. (LO 2) The White Crab Company is a food-processing company based in PEL. It operates under the weighted-average method of process costing and has two departments: cleaning and packaging. For the cleaning department, conversion costs are added evenly during the process, and direct materials are added at the beginning of the process. Spoiled units are detected upon inspection at the end of the process and are disposed of at zero net disposal value. All completed work is transferred to the packaging department. Summary data for May follow: Physical Direct Conversion 1 The White Crab Company: Cleaning Department 2 Work-in-process, beginning inventory (May 1) Units Materials Costs 2,500 $2,500 $2,000 3 4 Degree of completion of beginning work-in-process Started during May 100% 80% 22.500 Good units completed and transferred out during May 6 Work-in-process, ending inventory (May 31) 7 18,500 4,000 Degree of completion of ending work-in-process Total costs added during May 100% 25% $22,500 $20,000 Normal spoilage as a percentage of good units 10% 100% 100% 100% 100% 10 Degree of completion of normal spoilage 11 Degree of completion of abnormal spoilage Required For the cleaning department, summarize total costs to account for, and assign total costs to units completed and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work-in-process. Carry unit-cost calculations to four decimal places when necessary. Calculate final totals to the nearest dollar. (Problem 19-32 explores additional facets of this problem.) Check Figure: 1. Normal spoilage equivalent units, conversion costs, 1,850 units 19-31 FIFO method, spoilage. (LO 2) Refer to the information in Problem 19-30. Required Do Problem 19-30 using the FIFO method of process costing. (Problem 19-33 explores additional facets of this problem.)