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1.6 (12 marks) Process Costing - Chapter 6- Fiji Water has been extracting and packaging the delicate waters of Fiji for dozens of years. As

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1.6 (12 marks) Process Costing - Chapter 6- Fiji Water has been extracting and packaging the delicate waters of Fiji for dozens of years. As Fiji has grown bigger and bigger and evolved to a more advanced accounting process, they have opted to follow process costing. Consider the following information for the month of October: Fiji has two main processes, extraction/purifying and bottling/packaging.~ For October, there was an opening balance of 120,000 units for the extraction/purifying department. These units were 100% complete for direct materials but only 75% complete for conversion costs. During the month, 260,000 units were started in production and a total of 340,000 units were transferred out to the secondary division, bottling/packaging. The remaining WIP was found to be 100% complete for direct materials and only 30% complete for conversion. Opening WIP costs for the first processing division was 48,000 and 58,500 for direct materials and conversion cost, respectively. Added cost for the first division for the month was 104,000 and 170,300 for direct materials and col version cost, respectively. Requirements Complete all 5 steps for process costing. How much costs were transferred to the secondary division? How much costs were left in WIP?- Consider the additional information: The secondary division had no units in inventory at the beginning of the month, and ended the month with 45,000 units in WIP at 75% complete.~ The secondary division has a direct material cost of $0.30 per unit which typically occurs at the end of the production process. The conversion costs are $0.15 per unit and they occur evenly throughout the production process. Requirements Complete all 5 steps for process costing for the secondary division (packaging/bottling). How much costs were transferred to the finished goods? How much costs were left in WIP

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