Problems 18-31 Weighted-average method, spoilage. The Seafood Company is a food-processing firm based in Maine. It operates under the weighted-average method of process costing and has two departments: cleaning and packaging. For the cleaning department, conversion costs are added evenly during the process, and direct materials are added at the beginning of the process. Spoiled units are detected upon inspection at the end of the process and are disposed of at zero net disposal value. All completed work is transferred to the packaging department. Summary data for May follow Home Insert Page Layout Formulas Data Review View Physical Direct Conversion The Seafood Company: Cleaning Department Units Materials Costs 3,600 5,3161,953 100% 2 Work in of completion of work in 60% 4 Started d Ma 5 Good units completed and tansferred out during May 6 Work in 30,000 24,600 5,040 31 of completion of ending work in 100% 30% $55,500$44,659 8 Total costs added 9 Normal 10 as a of good units 10% of completion of normal spoilage of completion of abnormal spoil 100% 100% 100% 100% For the cleaning department, summarize the total costs to account for and assign those costs to units com- pleted and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in process. (Problem 18-33 explores additional facets of this problem.)

Principles of Cost Accounting
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Chapter2: Accounting For Materials
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18-31 Weighted-average method, spoilage. The Seafood Company is a food-processing firm based
in Maine. It operates under the weighted-average method of process costing and has two departments:
cleaning and packaging. For the cleaning department, conversion costs are added evenly during the
process, and direct materials are added at the beginning of the process. Spoiled units are detected upon
inspection at the end of the process and are disposed of at zero net disposal value. All completed work is
transferred to the packaging department. Summary data for May follow
Home Insert
Page Layout Formulas
Data
Review
View
Physical Direct Conversion
The Seafood Company: Cleaning Department
Units Materials
Costs
3,600 5,3161,953
100%
2 Work in
of completion of
work in
60%
4 Started d
Ma
5 Good units completed and tansferred out during May
6 Work in
30,000
24,600
5,040
31
of completion of ending work in
100%
30%
$55,500$44,659
8 Total costs added
9 Normal
10
as a
of good units
10%
of completion of normal spoilage
of completion of abnormal spoil
100%
100%
100%
100%
For the cleaning department, summarize the total costs to account for and assign those costs to units com-
pleted and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in
process. (Problem 18-33 explores additional facets of this problem.)
Transcribed Image Text:Problems 18-31 Weighted-average method, spoilage. The Seafood Company is a food-processing firm based in Maine. It operates under the weighted-average method of process costing and has two departments: cleaning and packaging. For the cleaning department, conversion costs are added evenly during the process, and direct materials are added at the beginning of the process. Spoiled units are detected upon inspection at the end of the process and are disposed of at zero net disposal value. All completed work is transferred to the packaging department. Summary data for May follow Home Insert Page Layout Formulas Data Review View Physical Direct Conversion The Seafood Company: Cleaning Department Units Materials Costs 3,600 5,3161,953 100% 2 Work in of completion of work in 60% 4 Started d Ma 5 Good units completed and tansferred out during May 6 Work in 30,000 24,600 5,040 31 of completion of ending work in 100% 30% $55,500$44,659 8 Total costs added 9 Normal 10 as a of good units 10% of completion of normal spoilage of completion of abnormal spoil 100% 100% 100% 100% For the cleaning department, summarize the total costs to account for and assign those costs to units com- pleted and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in process. (Problem 18-33 explores additional facets of this problem.)
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