Problem 2: Wabash Soap (Process Costing) Wabash Soap is a soap producer. Materials are first put into production in the processing unit after which they pass to the packaging unit. The following information is available in the packaging department for the month of July: Beginning WIP (gallons) 1.6 million gallons Costs transferred from processing $800,000 unit Cost of materials in packaging $400,000 (100% complete) Conversion costs (80% complete) $460,000 $1,660,000 Soap transferred in July from processing 4.8 million gallons department (gallons) Ending work-in-process (gallons) 1.2 million gallons Costs transferred from processing $1,500,000 department in July Material costs inc in July $750,000 Conversion costs incurred in July $900,000 The ending WIP was 100% complete w.r.t. materials and 80% complete w.r.t. conversion costs. For the month of July, compute costs transferred out and costs in ending WIP for the packaging department using: a) Weighted average method (1 point) b) FIFO method (0.5 point)