All Things Brass produces brass handles for the furniture industry in a four-stage process -Mixing, Moulding, Polishing and Packaging. Costs incurred in the Polishing Department during January are summarized as follows: WIP - Polishing Process A/C $ 0 January 1 Bal. Transfer from Moulding 20,000 Direct Materials Added Direct Labour Manufacturing Overhead 1,310,000 391,600 638,000 307,400 Normal losses are estimated to be 2% % of input during the period. Inspection takes place during the processing operation, at which point damaged handles are separated from good handles and sold as scrap to local furniture manufacturers at $85 each. At inspection, 2,000 handles were rejected as scrap. These units had reached the following degree of completion: Transfer from Moulding 100% Direct material added 40% 20% Conversion costs Work-in-progress at the end of January was 4,000 handles and had reached the following degree of completion: Transfer from Moulding 100% Direct material added Conversion costs 80% 50% Direct materials added and conversion costs are incurred uniformly throughout the process. Required: (e) Prepare a statement of equivalent production to determine the equivalent units for direct materials (From Moulding & Direct Material Added), and conversion costs and the cost per equivalent unit for direct materials and conversion costs. (10 marks) (b) Calculate the: (c) Total cost of units completed and transferred to the Packaging Department Cost of the unexpected losses Cost of ending work-in-process inventory in the Polishing Department (3 marks) Complete All Things Brass Work-In-Process Inventory - Polishing Process T-account, clearly showing the ending balance. (5 marks) Exclusive Souvenirs Hut does customize, hand-crafted memorabilia for hotels, in which each batch of souvenirs is a job. The company uses a perpetual inventory system and has a highly labour-intensive production process, so it assigns manufacturing overhead based on direct labour cost. Exclusive's predetermined overhead rate for 2020 was computed from the following data: Total estimated factory overhead Total estimated direct labour cost $2,400,000 $2,000,000 The WIP account given below relates to the activities of Exclusive Souvenirs for the month of June: WIP Inventory A/C June 1 Balance b/f Direct Materials Used $15,000 123,000 Additional data: Total material requisitioned Manufacturing Labour Costs incurred. Other manufacturing overheads incurred. $153,000 $163,500 (75% represents direct labour) $94,275 Two jobs were completed with total costs of $183,000 and $105,000 respectively. They were sold to the hotel on account at a margin of 33 1/3 % on sales. Required: c) Post the manufacturing overhead transactions to the Manufacturing Overhead T-account. What is the balance on the account before performing end of period closing entries? Is manufacturing overhead under- or over- absorbed? State the journal entries necessary to dispose of the variance. Assume that the manufacturing overhead variance is immaterial. d) What is the balance in the Cost of Goods Sold account after the adjustment? (5 marks) (2 marks) f) Determine the balance in the Work in Process Inventory account on June 30