Q2. Axel Ltd. uses a process costing system for its sole processing department. There were 16,000 units in beginning WIP inventory for March and 144,000 units were started in March. The beginning WIP units were 70% complete and the 13,000 units in ending WIP were 50% complete. All materials are added at the start of processing. (2 Mark) Required: a) Compute the no. of units started & completed. b) Compute the EUP for DM and CC using FIFO and WA methods. c) Calculate total manufacturing cost/EUP under both methods, if following details are available:

FIFO WA

Direct Material Cost SAR 648,000 SAR 800,000

Conversion Cost SAR 853,800 SAR 1,151,250