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Question 1 (2 points) Sherwin Pogi produces a drink extract that passes through three processes: mixing, blending and bottling. During the 3rd quarter of the year, the blending department received 20,000 gallons of liquid from the Cooking Department with costs of Php 192,000. Upon receiving the liquid, the Blending Department adds sugar and stirs the mixture for twenty minutes. The product is then passed on to the Bottling Department. There were 4,000 gallons in process at the beginning of the quarter. 75% converted with the following costs: Prior Dept. costs, Php 38,000; Powder, Php 5,360; conversion costs, Php 12,000. Costs added by the Blending Department during the quarter were: Powder, Php 28,000; Conversion costs, Php 60,788. There were 3,500 gallons in ending inventory, 20% converted. Using FIFO Method, the conversion cost per EUP is: Ob Php 4.74 Php 234 Php 9.00 Php 14.34