Consider the following data for November 2017 from Marzollo 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. Marzollo Manufacturing Company uses the weighted-average method of process costing.

a:Degree of completion: direct materials, 100%; conversion costs, 45%.

b:Degree of completion: direct materials, 100%; conversion costs, 10%.

Requirement

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

Data table Physical Units Direct Conversion (Pennants) 1,350 Materials $3,448 Costs $571 ? Work in process, November 18 Started in November 2017 Good units completed and transferred out during November 2017 Normal spoilage Abnormal spoilage Work in process, November 306 Total costs added during November 2017 9,500 160 40 1,700 $11,600 $32,000 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 HILO Work in process, ending Accounted for Equivalent units of work done to date