Consider the following data for November 2014 from Gannett Manufacturing Company, which makes silk pennants and uses a process-costing system. All direct materials are added at the beginning of the process, and conversion costs are added evenly during the process. Spoilage is detected upon inspection at the completion of the process. Spoiled units are disposed of at zero net disposal value. Gannett Manufacturing Company uses the weighted-average method of process costing.

Physical Units	Direct	Conversion
	(Pennants)	Materials	Costs

Work in process, November 1	1,125	$3,653	$702
Started in November 2014	?
Good units completed and transferred out during November 2014	8,800
Normal spoilage	130
Abnormal spoilage	65
Work in process, November 30	2,400
Total costs added during November 2014		$12,300	$26,500

Superscript aaDegree of completion: direct materials, 100%; conversion costs, 50%.

Superscript bbDegree of completion: direct materials,100%;conversion costs, 30%.

Requirement

Compute equivalent units for direct materials and conversion costs. Show physical units in the first column of your schedule.

Enter the physical units in first, then calculate the equivalent units.

Physical

Flow of Production

Units

Work in process, beginning

Started during current period

To account for

Completed and transferred out during current period

Normal spoilage

Abnormal spoilage

Work in process, ending

Accounted for

Equivalent units of work done to date