WaterWorthy uses three processes to manufacture lifts for personal watercraft: forming a lift's parts from galvanized steel, assembling the lift, and testing the completed lifts. The lifts are transferred to Finished Goods Inventory before shipment to marinas across the country. WaterWorthy's Testing Department requires no direct materials. Conversion costs are incurred evenly throughout the testing process. Other information follows for the month of August: EEB (Click the icon to view the other information.) Data Table Requirements UNITS Beginning Work-in-Process Inventory Transferred in from Assembling Department during the period Completed during the period Ending work-in-Process Inventory (40% complete for conversion work) COSTS Beginning Work-in-Process Inventory (transferred in costs, $93,400; 2,300 units 6,800 units 4,100 units 5,000 units 1. Prepare a production cost report for the Testing Department. 2. What is the cost per unit for lifts completed and transferred out to Finished Goods Inventory? Why would management be interested in this cost? PrintDone conversion cost, $18,100) Transferred in from the Assembly Department during the period Conversion costs added during the period S 111,500 671,000 49,000 Check