Problem 2. Average Costing Ka Louie Company manufacturing virgin coconut oil that goes through two processing departments. Data for May 2014 are as follows: Mixing Department Bottling Department Liters transferred to Bottling Department 75,000 Liters transferred to Finished goods 68,000 Liters on hand at end of month 9,000 15,000 Stage of Completion: 100% Prior department costs Direct Materials Conversion costs 100% 60% 100% Costs incurred during May: Direct Materials P18,480 Conversion Costs Beginning work-in-process inventory P32,160 P25,900 Liters 8,000 8,000 Costs: Prior department's costs P6,350 Direct Materials P1,680 P2,220 Conversion Costs P4,020 LADDADES All materials are added at the start of the process in the Mixing Department Required: 1. Compute equivalent unit of production. 2. Mixing Department 3. Bottling Department 4. Prepare a separate cost of production report. 5. Mixing Department 6. Bottling Department