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Use of Generative AI Tools (Allowed) The use of generative AI tools is allowed for this assignment. - You are expected to provide proper attribution if you use generative AI tools while completing the assignment, including appropriate and discipline-specific citation, a table detailing the name of the AI tool used, the approach to using the tool (e.g. what prompts were used), the full output provided by the tool, and which part of the output was adapted for the assignment; - To take note of section 3, paragraph 3.2 and section 5.2, paragraph 2A.1 (Viva Voce) of the Student Handbook; - The University has the right to exercise the viva voce option to determine the authorship of a student's submission should there be reasonable grounds to suspect that the submission may not be fully the student's own work. - For more details on academic integrity and guidance on responsible use of generative AI tools in assignments, please refer to the TLC website for more details; - The University will continue to review the use of generative AI tools based on feedback and in light of developments in AI and related technologies. Question 1 Cookie Master Inc. manufactures bar cookies. These are produced in three separate departments sequentially: Blending, Forming, and Packaging. The following information of process input, output and work in process relates to the Forming department for the month of August 2023: The opening and closing work in process are respectively 60 per cent and 40 per cent complete as to conversion costs. Raw materials are added at the beginning of the manufacturing process. However, conversion costs are incurred evenly throughout the manufacturing process. Spoilages are assumed to occur at the stage of completion where inspection takes place. All spoilages are assumed to be from units started during the month. Inspection takes place when the products are 80% complete. The opening work in process included the transferred-in costs of $63,546 from the Blending department, raw material costs of $29,904 and conversion costs of $60,556. Costs incurred during the period were: The normal spoilage is 5 per cent of the units inspected. Required: (a) Assuming that the company uses FIFO method of process costing, use the 4-step approach: (i) Compute the cost per equivalent unit for each product cost category for the month of August. (20 marks) (ii) Calculate the cost of goods transferred to the packaging department at the end of August. (6 marks) (iii) Calculate the cost of abnormal spoilage in August. (4 marks) (iv) Calculate the cost of ending work in process in the forming department at the end of August. (3 marks) (v) Calculate the unit cost of the goods transferred to packaging department (rounded to 2 decimal places). (1 mark) (b) Show all necessary journal entries. (4 marks) (c) Assuming that the company uses weighted average method, use the 4-step approach to compute the cost of goods transferred to the packaging department and the cost of ending work in process in the forming department at the end of August. (11 marks) (d) Compare and explain how the difference in the method of process costing will affect the values of completed units and the ending work in process in the forming department. (6 marks)

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