Problems: 1. The Bottling Department of Rocky Springs Beverage Company had 2,00 liters in the beginning work in process (30% complete). During the month, 28,500 liters were started and 29,00 liters were completed. The ending work in process inventory was 1,500 liters (60% complete). Materials are added at the beginning of the process, while conversion costs are added evenly throughout the process. A. How many units were started and completed during the month? B. What are the total equivalent units for: (1) direct materials and (2) conversion costs! 2. The Bouncy Baby Crib Mattress Company sells large and small mattresses and is considering the adoption of an activity-based costing system. Last year, the company incurred $600,000 in overhead costs related to the following activities: Activity Allocation Base Overhead Costs Purchasing Number of purchase orders $300,000 Receiving Number of shipments received 200,000 Sales Number of sales orders processed 100,000 During the year, 15,000 purchase orders were issues (7,500 each for large and small mattresses), 20,000 shipments were received (12,500 for large and 7,500 for small), and 25,000 sales orders (15,000 for large and 10,000 for small) were processed. Required: Determine the amount of overhead that should be assigned to each product using Activity-Based Costing (ABC)