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QUESTION 4 (25 MARKS) Cantik Bhd manufactures a product that goes through two departments prior to completion the Mixing Department followed by the Packaging Department.

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QUESTION 4 (25 MARKS) Cantik Bhd manufactures a product that goes through two departments prior to completion the Mixing Department followed by the Packaging Department. The following information is available about work in the first department, the Mixing Department, during June. The company uses the weighted average method. Units Percent Completed Materials Conversion 70% 40% Work in process, beginning Started into production Completed and transferred out Work in process, ending Work in process, beginning Cost added during the year 70,000 460,000 450,000 80,000 75% RM36,550 RM391,850 25% RM13,500 RM287,300 Required: a) Determine the equivalent units for June for the mixing department. (3 marks) (CLO2:PLO2:C3) Page 5 of 6 b) Compute the cost per equivalent unit for June for the mixing department. (5 marks) (CLO2:PLO2:C3) c) Determine the total cost of ending work in process inventory and the total cost of unit transferred to the packaging department. (7 marks) (CLO2:PLO2:C3) d) Prepare the cost reconciliation report for the mixing department for June. (4 marks) (CLO2:PLO2:C4) e) Discuss under what condition it would be appropriate to use a process costing systems. (2 marks) (CLO2:PLO2:C2) f) Briefly explain any TWO (2) similarities between job order and process costing (4 marks) (CLO2:PLO2:C2)

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