Empire Forging produces small plumbing valves. January data for its valve-making process follow. Beginning WIP...
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Empire Forging produces small plumbing valves. January data for its valve-making process follow. Beginning WIP was 72,000 units. Good units completed and transferred out during the current period totaled 504,000. Ending WIP was 81,600 units. Inspection occurs at the 100% stage of completion with respect to conversion costs, which are incurred evenly throughout the process. Total spoilage is 43,200 units. Normal spoilage is 15,120 units. Direct materials are added at the beginning of the process.
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