Soft sweet drink Co is a manufacturer for a popular soda beverage. It has just ended the following processes right on the year end stock valuation period.

Process info:

particulars Units and costs

Input material 20,000 units at $8,900

Conversion costs $8,000

Normal loss 10% of input units

Scrap value on loss units $0.5 per unit

Actual output at the end of process 19,850 units

Please be noted that for all loss units could be scrapped shall be treated as side income from the process. There are no closing and opening WIP for this process.

Requirement:

(1) Calculate the estimated cost per output unit of the process.

(2) Prepare the accounts for process and related transactions.

Calculate the abnormal units and its values.