APCO Company manufactures varlous lines of blcycles. Because of the high volume of each line, the company employs a process

costing system using the weighted$-$average method. Bicycle parts are manufactured in the molding department and then are

consolidated into a single bike unit in the molding department and transferred to the assembly department, where they are

assembled. After assembly, the bicycle is sent to the packing department. Annual cost and production figures for the assembly

department are presented in the schedules below.

Defectuve bicycles are identified at the inspection point when the assembly labor process is $70\%$ complete; all assembly materials have

been added at this point. The normal rejection rate for defective blcycles is $5\%$ of the blcycles reaching the inspection point. Any

defective bicycles above the $5\%$ quota are considered to be abnormal. All defective bikes are removed from the production process

and destroyed.

Assembly Department Production Data

Beglining inventory

Transferred in from molding during year

Transferred out to packing dur$-$ing year

Ending Inventory

Complete this question by entering your answers in the tabs below.

Required :

Peuluired $2$

Required $3$

Required $4$

Compute the number of defective, or spoiled, bikes that are cons dered so $b=$

$.$ Normel spoilige.

b$.$ Abnorme spoilage.