ncorporated obtains fish and then processes them into frozen fillets and then prepares 31) e rozen fish fillets for distribution to its retail sales department. Direct materials are added at the nitiation of the cycle. Converslon costs are ircurred evenly throughout the production cycle. Before nspection, some fillets are spoiled due to undetectable defects. Inspection occurs when units are 4 5% converted. Spoiled fillets generally constitute 6% of the good fillets. Data for April 2017 are as follows: WIP, beginning inventory 4/1/2017 93,000 fillets Direct materials (100% complete) Conversion costs (50% complete Completed and transferred out 4/31/2017 Direct materials (100% complete) Started during April 133,000 fillets 183,000 fillets 30,000 fillets WIP, ending inventory 4/31/2017 conversion costs (25% complete) Costs for April: WIP, beginning Inventory: Direct materials Conversion costs Direct materials added Conversion costs added $132,000 97,910 309,000 387,130 What is the number of total spoiled units? C) 32,000 units D) 7000 units A) 13,000 units B) 74,420 units 3 32) The Peric Manufacturing Shop produces motorcycle parts. Typically. 17 pieces out of a job lot of 1200 parts are spolled. Costs are assigned at the inspection point, $60.00 per unit. Spoiled pieces may be disposed at $8.00 per unit. The spolled goods must be inventoried appropriately when the normal spoilage is detected. The current job requires the production of 3600 good parts. Which of the following journal entries would be correct if the spoilage occurred due to specifications required for Job 101? 408 A) Work-in-Process Control B) Materials Control C) Work-in-Process Control D) Materials Control 408 Materials Control Work-in-Process Control Materials Control Work-in-Process Control 136 136 136 408 136 408 A) all rework is treated as normal and is written off as a cost of the current period B) all rework is treated as abnormal and is shown as a liability of the current period C) all rework is treated as normal and is shown as a liablity of the current period D) all rework is treated as abnormal and is written off as a cost of the current period 33) If a company set a standard of zero rework