Craft Concept manufactures small tables in its Processing Department. Direct materials are a added at the initiation of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Before inspection, some units are spoiled due to nondetectible materials defects. Inspection occurs when units are 50% converted, Spoiled units generally constitute 5% of the good units. Data for December 20x3 are as follows: WIP, beginning inventory 12/1/20x3 10,000 units Direct materials (100% complete) Conversion costs (75% complete) Started during December 40,000 units Completed and transferred out 12/31/20x3 WIP, ending inventory 12/31/20x3 8,000 units Direct materials (100% complete) 38,400 units Conversion costs (65% complete) Costs for December WIP, beginning Inventory Direct materials $ 50,000 Conversion costs 30.000 Direct materials added 100.000 Direct materials (100% complete) Conversion costs (75% complete) Started during December 40,000 units Completed and transferred out 12/31/20x3 38,400 units WIP, ending inventory 12/31/20x3 8,000 units Direct materials (100% complete) Conversion costs (65% complete) Costs for December: WIP, beginning Inventory: Direct materials $ 50,000 Conversion costs 30,000 Direct materials added 100,000 Conversion costs added 140,000 What is the number of total spoiled units? 1.600 units 2,000 units 2,700 units 3,600 units Normal spoilage totals .. 1,600 units. 2,000 units. . 1,920 units. 1. 2,700 units B. Abnormal spoilage totals 9. 1,600 units. 0.2,000 units. 1.1,680 units. 2. 1.920 units