Answer the Following Questions Using the Information Below:
Outose Concept

question 20

Multiple Choice

Answer the following questions using the information below:
Outose Concept manufactures small tables in its Processing Department. Direct materials are added at the initiation of the production cycle and must be bundled in single kits for each unit. Conversion costs are incurred evenly throughout the production cycle. Before inspection, some units are spoiled due to nondetectible materials defects. Inspection occurs when units are 50% converted. Spoiled units generally constitute 4% of the good units. Data for December 2015 are as follows:
$\begin{array}{ll}\text { WIP, beginuing inventory } 12 / 1 / 2015&22,000 \text { units }\\\text { Direct materials ( } 100 \% \text { complete) }\\\text { Conversion costs ( } 75 \% \text { complete) }\\\text { Started during December } & 76,000 \text { units } \\\text { Completed and transferred out } 12 / 31 / 2015 & 72,000 \text { units } \\\text { WIP, ending inventory } 12 / 31 / 2015 & 18,000 \text { units }\\\text { Direct materials ( } 100 \% \text { complete) }\\\text { Conversion costs ( } 65 \% \text { complete) }\\\\\text { Costs for December: }\\\text { WIP, beginuning Inventory: }\\\text { Direct materials } & \$ 150,000 \\\text { Conversion costs } & 76,800 \\\text { Direct materials added } & 222,400 \\\text { Conversion costs added } & 290,000\end{array}$
-Abnormal spoilage totals ________.

• A) 3,200 units
• B) 8,000 units
• C) 5,120 units
• D) 2,880 units

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Definitions:

Daily Emotional Experience

The range of feelings an individual encounters on a day-to-day basis.

Positive Emotions

Feelings that are generally pleasant and uplifting, such as happiness, joy, and love, contributing to overall well-being and satisfaction.

Yerkes-Dodson Law

A principle stating that performance improves with physiological or mental arousal, but only up to a point, after which performance declines.

Arousal

A state of physiological and psychological alertness and readiness, often triggered by stimuli in the environment.