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Kepler Optics makes lenses for telescopes. Because Kepler will only sell lenses of the highest quality, the normal spoilage during a reporting period is1,000 units. At the beginning of the current reporting period, Kepler had2,200 units in inventory, and during the period, production was started and completed on4,000 units. Units in inventory at the end of the current reporting period were1,500, and the units transferred out were3,000.
The abnormal spoilage is700 units.
openning units. 2200
plus production 4000
minus losing units -1500
Net units 4700
minus units transferred -3000
Total spoiled units 1700
minus normal spoilage -1000
Abnormal spoilage 700