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Pre Test 4.5 A Question Help Propaint manufactures paints for use in the automotive sector. The manufacture consists of two processes, Process 1 and Process
Pre Test 4.5 A Question Help Propaint manufactures paints for use in the automotive sector. The manufacture consists of two processes, Process 1 and Process 2. Process 1 mixes water and some chemicals to produce a white base paint. This base paint is an input to Process 2, which is a highly automated process and involves no direct labour. Process 2 adds various pigments and finishes (e.g. metallic finish) to the base paint. Below are some costs of each process for the last period: Process 1 Materials added Labour cost Other costs Litres output 133,081 59,194 99,855 20,000 Process 2 Materials added 48,838 51,026 Indirect costs You can assume no opening or closing inventory, and that no losses occur in either process. Requirement What is the transferred in cost for Process 2? Enter your answer here
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