Q I InhemationalBusineszc... Homgren's Cost Amun... x A spouage rate 0t 1% IS the appropriate benchmark. bne teels LnaawrcK made these comments because he wants to show a higher operating income for the year. a. Prepare journal entries, similar to requirement 2, to account for Job No. M102 if all spoilage were considered normal. How will operating income be affected if all spoilage is considered normal? b. What should Suarez do in response to Chadwick's comment? 18-45 PHYSICAL UNITS, INSPECTION AT VARIOUS STAGES OF COMPLETION. Normal spoilage is 7% of the good units passing inspection in a forging process. In March, a total of 12,000 units were spoiled. Other data include units started during March, 129,000; workin-process, beginning, 16,000 units (20% completed for conversion costs); workin-process, ending, 13,000 units (70% completed for conversion costs). L03 Normal spoilage at 15%, 8,190 units Required In columnar form, compute the normal and abnormal spoilage in units, assuming inspection at 15%, 40%, and 100% stages of completion. 767 1:] \"Pg-749 |