problem solving:

Papaya Company manufactures soap in two departments in a continuous process. The following data is available for May 2020. Department 1 Department 2 UNITS: Beginning work in process: Conversion costs, 65% complete 5,000 Conversion costs, 40% complete 7,000 Started in production during May 50,000 Transferred out to Department 2 45,000 Transferred out to Finished Goods 43,000 Ending work in process: Conversion costs, 75% complete 10,000 Conversion costs, 50% complete 9,000 COSTS: Beginning work in process: Transferred in costs from prior department 0 P30,000 Added this department: Direct Material P13,000 14,600 Direct Labor 8,500 9,200 Manufacturing Overhead (applied) 10,975 11.760 Total P32.475 P65,560 Added during the period: Direct materials P65,000 P45,000Beginning work in process: Transferred in costs from prior department P30,000 Added this department: Direct Material P13,000 14,600 Direct Labor 8,500 9,200 Manufacturing Overhead (applied) 10,975 11.760 Total P32,475 P65,560 Added during the period: Direct materials P65,000 P45,000 Direct Labor 90,000 70,000 Manufacturing Overhead (applied) 52.825 39,962 Total P207.825 P154,962 Additional Information: All direct materials are added at the beginning of the process of each department while conversion costs are applied evenly during the process. Required: 1. Compute equivalent unit of production. a. Department 1 b. Department 2 1. Prepare a separate cost of production report. a. Department 1