Computing costs in a prior department when there are lost units. On November 1, 19X8, the beginning work in process inventory for the Heating Department of the Gordon Company was 14,000 units with prior department costs of $22,800. During November, 65,000 units with prior department costs of

$129,000 were transferred into the Heating Department, and 70,000 units were transferred out to the next department. The ending work in process inventory was 8,400 units.

a. Show how the Costs in Prior Departments section of Costs to Be Accounted For would appear in the cost of production report for November, assuming that a separate adjustment for lost units is shown.

b. What is the amount of prior department costs in the ending work in process inventory?