EmNx Manufacturers Ltd manufactures tables in its Processing Department. Direct materials are included at the inception of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Inspection takes place at the end of the production process. After inspection, some units are found to be spoiled due to non-detectable material defects. Such spoiled units generally constitute 4% of the good units completed and transferred out during the process. EmNx uses First-In-First-Out (FIFO) process costing method. Data provided for July 2021 are as follows:

The number of units in the beginning work in process inventory (BWIP) as at 1 July 2021 is 32,000 units, being 85% converted. The number of units started during July is 70,000 units, and the number of units completed and transferred out during the month is 80,000 units.

The costs associated with the beginning work in process inventory (BWIP) consist of direct materials $70,000 and conversion costs $40,000.

The cost of direct materials added during the month of July is $105,000, and the cost of conversion incurred in the same month is $128,160.

The ending work in process inventory as at 31 July 2021 (EWIP) is 18,000 units, being 80% converted.

The normal and abnormal spoilage units for the month of July 2021 are ___________ respectively.

	a.	3,200 units; 800 units
	b.	4,000 units; 0 units
	c.	2,800 units; 1,200 units
	d.	4,000 units; 800 units
	e.	None of the answers.