Total globes manufactured Globes rejected as spoiled units Total manufacturing cost 20,000 750 S800,000 Assume the spoiled units have no disposal value. 1. What is the unit cost of making the 20,000 globes? 2. What is the total cost of the 750 spoiled units? 3. If the spoilage is considered normal, what is the increase in the unit cost of good globes manufactured as a result of the spoilage? 4. If the spoilage is considered abnormal, repar the journal entries for the spoilage incurred. Required

Total globes manufactured Globes rejected as spoiled units Total manufacturing cost 20,000 750 S800,000 Assume the spoiled units have no disposal value. 1. What is the unit cost of making the 20,000 globes? 2. What is the total cost of the 750 spoiled units? 3. If the spoilage is considered normal, what is the increase in the unit cost of good globes manufactured as a result of the spoilage? 4. If the spoilage is considered abnormal, repar the journal entries for the spoilage incurred. Required

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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