Q8 uses process costing. All materials are added at the beginning of the process. The normal spoilage rate is the 11% of good units completed.
The cost of the beginning work-in-process in the Month of May is $3,600,000, including $1,880,000 of input of materials, 130,000 units, and $1,580,000 for conversion costs. The beginning work-in-process is 77% complete.
During May, the input includes the $7,480,000 for materials, 960,000 units and $9,220,000 for conversion costs. The amount of good units finished is 970,000 units. In addition, the amount of ending work-in-process in May is 120,000 units with 70% complete. The abnormal spoilage is 23,000 units with 100% complete.Using the FIFO method, the dollar value of cost of finished goods.