JUST NEED HELP ON 18-26

18-25 Weighted-average method, spoilage. LaCroix Company produces handbags from leather of mod erate quality. It distributes the product through outlet stores and department store chains. At LaCroix's facil ity in northeast Ohio, direct materials (primarily leather hides) are added at the beginning of the process, 742 CHAPTER 18 SPOILAGE, REWORK, AND SCRAP while conversion costs are added evenly during the process. Given the importance of minimizing product returns, spoiled units are detected upon inspection at the end of the process and are discarded at a net disposal value of zero. LaCroix uses the weighted-average method of process costing. Summary data for April 2017 are as follows: Insert Page Layout Formulas Data ReviewView PhysicalDctConversion Units Materials Costs 2400 $21,240 13,332 2 Work in process, beginning inven 3 Degree of completion of beginning work in process 4 Started during April 5 Good units completed and transferred out during April 100% 5% 12,000 10,800 2,160 Work in process, ending inventory (April 30 7 Degree of completion of ending work in process 8 Total costs added during 9 Normal spoilage as a percentage of good units 10 Degree of completion of normal spoilage 11 Degree of completion of abnormal spoilage 100% 75% $97,560$111,408 10% 100% 100% 100% 100% Required 1. For each cost category, calculate equivalent units. Show physical units in the first column of your schedule Summarize the total costs to account for; calculate the cost per equivalent unit for each cost category and assign costs to units completed and transferred out (including normal spoilage), to abnormal spoil- age, and to units in ending work in process 2. 18-26 AFO method, spoilage 1. Do Exercise 18-25 using the FIFO method. 2. What are the managerial issues involved in selecting or reviewing the percentage of spoilage consid Required ered normal? How would your answer to requirement 1 differ if all spoilage were viewed as normal