Problem 2 Jackson Carpentry 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 as units are placed into production. After inspection some units are spoiled due to nondetectible material defects. Spoiled units generally constitute 4 % of the good units. Data provided for March 20X5 are as follows: - 32, cha t7 WIP, beginning inventory 3/1/20X5 32,000 units Direct materials (100 % complete) Conversion costs (85 % complete) 70,000 units 80,000 units vvo Started during March Completed and transferred out WIP, ending inventory 3/31/20X5 mP 32, 18,000 units Direct materials (100% complete) Conversion costs (80% complete) 32, vo Costs: WIP, beginning inventory: Direct materials Conversion costs Direct materials added Conversion costs added $70,000 $40,000 $105,000 $128,160 a. What are the normal and abnormal spoilage units, respectively, for March when using FIFO? Normal Abnormal b. What costs would be associated with normal and abnormal spoilage, respectively, using the FIFO method of process costing? Normal Abnormal c. What costs are allocated to the ending work-in-process inventory for direct materials and conversion costs, respectively, using the FIFO method of process costing? Direct materilas Conversion Costs Total