A company manufactures a liquid product called Crystal. The basic ingredients….
I need help with Dept. 2 calculations. Thank you.
Calculating Unit Costs ; Units Gained in ProductionA company manufactures a liquid product called Crystal . The basic ingredients are put into process in Department 1 . In Department 2 , other materials are added that increase thenumber of units being processed by 50% . The factory has only two departments .UnitsProduction SummaryDept . 1Dept. 2Started in process …18 , 000Received from prior department …14, 000Added to units in process …..7, 000Finished and transferred …………. . .14 , 00015 , 000In process , end of month …………. . . . . . . . ! ! ! ! ! ! . . . . . . "4, 0006, 000Stage of completion – materials , labor , andfactory overhead ….. .. . .1/41/2Cost SummaryMaterials …….$90, 000$36, 000Labor ….30, 00013, 500Factory overhead ……15 , 0004, 500Calculate the following for each department : ( a ) unit cost for the month for materials , labor , and factory overhead , ( b ) cost of the units transferred , and ( C ) cost of the ending workin process .Department 1Department 2a .Unit cost for the month for materials , labor , and factory overhead$D .Cost of the units transferredC .Cost of the work in process$