19,400 152,200 171,600 Work in process, beginning Started during current period To account for Spoiled units Good units completed and transferred out 12,200 134,000 25,400 Work in process, ending 171,600 Accounted for The data, in physical units, that describe a grinding process for January are in the accompanying table. Inspection occurs at the 100% completion stage. Normal spoilage is 5% of the good units passing inspection. E: (Click the icon to view the data for January.) Required 1. Compute the normal and abnormal spoilage in units. 2. Assume that the equivalent-unit cost of a spoiled unit is $24. Compute the amount of potential savings if all spoilage were eliminated, assuming that all other costs would be unaffected. Comment on the results. Requirement 1. Compute the normal and abnormal spoilage in units. Total spoiled units 12,200 6,700 Normal spoilage units 5,500 Abnormal spoilage units Requirement 2. Assume that the equivalent-unit cost of a spoiled unit is $24. Compute the amount of potential savings if all spoilage were eliminated, assuming that all other costs would be unaffected. Comment on the results. First, find the amount of potential savings. Abnormal spoilage Normal spoilage Potential savings