2. Joumalize the entries for (1) costs transferred from Reaction to filling and (2) the covt tracsferred from faling to Finished Goods. If an amount box dses not require: an entry, leave is blank. (1) (2) the nearest cene. Equivalent Units and Related Cests; Cous of Production Report: Entries Department, the materials pass thecugh the Reaction and Filing departments, emerging as fehated chemicais. The batance in the aceount Wock in Process - Filing aas as folitews on January 1: Work in Process - Flling Department (3,700 units, 20% sompleted ) : The following costr were charged to Werk in Process - Filing during January: Direct materials tranaferred from Rexction 3. Determine the increase or decrease in the cost per equivalent unit from December to danuary for direct muterials and conversion costs. If required, round your answers to two decimal places. 4. Discuss the uses of the cost of peoduction report and the results of part (3). The cost of production report may be used as the basis for allocating preduct costs befween and . The report can also the used to control costs by holsing each department head responsble for the units enteting production and the costs incurnd in the department. Anr alferences in unit product coss from one month to another, such as those in part (3), can be studied carefulir and any sonificant defferences invesigated