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(024. Q25.) Cartwright Custom Carpentry manufactures chairs 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 as units are placed into production. After inspection, some units are spoiled due to nondetectible material defects. Normal spoilage units generally constitute 3 % of v the good units. Data provided for March 20X5 are as follows: WIP, beginning inventory 3/1/20XS Direct materials (100% complete) Conversion costs (89.5% complete) Started during March Completed and transferred out WIP, ending inventory 3/31/20X5 Direct materials (100% complete) Conversion costs (75% complete) 30,000 units 80,000 units 86,000 units 20,000 units Costs: WIP, beginning inventory: Direct materials Conversion costs Direct materials added Conversion costs added $70,000 40,000 160,000 120,000 Q24. What costs would be associated with normal and abnormal spoilage, respectively, using the FIFO method of process costing? a) $5,890.64; $9,133.20 b) $5,890.64; $5,826.00 c) $6,469.64; $7,690.36 d) $9,133.20; $5,026.80 Q25. Which of the following journal entries correctly represents the transfer of completed goods for the current period using the FIFO method of process costing? 10,560.28 Loss from Spoilage 10,560.28 5,026.80 a) Finished Goods b) Loss from Spoilage Finished Goods 5,026.80 327,251.00 c) Finished Goods 327,251.00 Work in Process 401,700.00 d) Finished Goods 401,700.00 Work in Process