Luisita Corp. produces product A and product B. It has two departments that process all products. During February, the beginning WIP in department 1 was half completed as to conversion, and complete as to direct materials. The beginning inventory included P40,000 for materials and P60,000 for conversion cost. Ending WIP inventory in department 1 was 40% complete. Direct materials are added at the end of the process. Beginning WIP in department 2 was 20% incomplete as to conversion. Direct materials for department 2 are added near the end of the process. Beginning inventories included P 24,000 for transferred-in cost and P28,000 for conversion costs. Ending inventory was 70% incomplete. Additional Information about the two department are as follows:

	Department 1	Department 2
Transferred-out	128,000	68,500
Conversion Cost	28,000	68,500
Materials Added	48,000	34,000
Beg, WIP in units	20,000	24,000
Units Started this Period	60,000	68,000
Units transferred this period	64,000	20,000