Process Costing Mutt Butter is still an emerging company.' that manufactures and sells peanut butter treats for dogs. Mutt Butter includes two ingredients: peanut butter, and added nutrient powder. The ratio of Peanut Butter to nutrient powder is 2:1. To make Mutt Butter. the ingredients are mixed in a food processor. Mutt Butter is packaged in 1.5 oz singleserve cups. Julia is the chef of Mutt Butter and her sole role is to make the Mutt Butter. Mutt Butter is made in a commercial kitchen that Mutt Butter rents for a contracted 25 days a year. That rent includes the utilities and use of the food processor and packaging equipment. The kitchen facilityf will also store any:r packaged Mutt Butter and ingredients for free. Mutt Butter did its rst production run in 2D15, and a second in 2D16.At the end of the run in sols, Julia got a bunch of Accounting students to close her books. The ending balance at the end of 2D16 was as follows: Item Percent Completed Ending Balance [$1 Peanut Butter 60% $60G Nutrient Powder 4596 $231 1.5 D: liIZups {with lids, washed} 100% $10G Direct Labor 20% $3511 Overhead [allocated on DL hrs} 20% $400 Mutt Butter in Process LUCIE! units $1,231 Curious about how well the students did. Julia went to inspect the Work In Process stores, and found an extra package of peanut butter that the students had missed and forgotten to factor into their calculations