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Stefan Ceramics is in the business of selling ceramic vases. It has two departments - molding and finishing. Molding department purchases tungsten carbide and produces ceramic vases out of it. Ceramic Vases are then transferred to finishing department, which designs it as per the requirement of the customers. During the month of July, molding department purchased 720 kgs of tungsten carbide at $280 per kg. It started manufacture of 4,200 vases and completed and transferred 3,400 vases during the month. It has 800 vases in the process at the end of the month. It incurred direct labor charges of $1,200 and other manufacturing costs of $1,100, which included electricity costs of $1,100. Stefan had no inventory of tungsten carbide at the end of the month. It also had no beginning inventory of vases. The ending inventory was 50% complete in respect of conversion costs. What is the cost of tungsten carbide that will be assigned to vases finished and transferred to the finishing department for the month of July? .. O A. $166,600 B. $201,600 OC. $163,200 OD. $123,200 A company produces 11,400 units of which 200 are spoiled units because the process, even though carefully and efficiently executed is unable to produce good units 100% of the time. Another 50 units are spoiled because machines broke down and there also were operator errors. What is the normal spoilage rate (round to two decimal places) ... O A. 2.19% B. 0.44% O C. 1.75% OD. 1.79%

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