Question 3: Process Costing [35 Marks] Time Ltd manufactures watches. The company's chief financial officer is trying to verify the accuracy of the ending work in process and finished goods inventories prior to closing the books for the year. The year-end balances shown on Time Lid's books are as follows: Units Cost Work in process, 31 December 2022 300,000 $660,960 (labour and overhead 50% complete) Finished goods, 31 December 2022 200,000 $1,009,800 Materials are added to production at the beginning of the manufacturing process . Overhead is applied to each product at the rate of 60% of direct labour cost There was no finished goods inventory at the beginning of the year.If Time Ltd applies the First-in-Firstout method: iii. Calculate the total equivalent units and costs per equivalent unit for each of the following: materials, labour, and overhead for the year. (9 marks) iv. Calculate the cost of the ending work in process and the cost of the goods completed and transferred out. (11 marks) A review of Time Ltds inventory and cost records has disclosed the following data: Costs Units Materials Labour Work in process, 1 January 2022 200,000 $200,000 $315,000 (Labour and overhead 80% complete) 1 Units started into production 1,000,000 Cost added during the year $1,300,000 $1,995,000 Units completed during the year 900,000 Required: Keep all calculations to 2 decimal places. If Time Ltd applies the weighted average method: i. Calculate the total equivalent units and costs per equivalent unit for each of the following: materials, labour and overhead for the year. (10 marks) ii. Calculate the cost of the ending work in process and the cost of the goods completed and transferred out