4-36 (Based on a problem contributed by Roland Minch) Celestial Class Company manufactures a variety of glass windows in its Charleston plant In department I clear glass sheets are produced and some of these sheets are sold as finished goods Other sheets made in department I have metallic oxides added in department II to form colored glass sheets Some of these colored sheets are sold, others are moved to department III for etching and then are sold The company uses operation costing Celestial Glass Company's production cosis applied to products in August are given in the follow ing table There was no beginning or ending inventory of work in process for August

Each sheet of glass requires the same steps within each operation Required: Compute each of the following amounts 1. The conversion cost per unit in department I 2. The conversion cost per unit in department II 3. The cost of a clear glass sheet 4. The cost of an unetched colored glass sheet 5. The cost of an etched colored glass sheet

Cost Category Diect material Deci labor Manufacturing overhead Dept. I $900,000 76,000 Dept. II $144.000 Dept 1!! -0 44,000 $76,000 450 000 136 000 147 500 Products Dept. I Units Dir. Mat Dopt II Dir. Mat. Clear glass, sold olier copt 5,500 $495,000 Unstched colored glass, sold after degi 2,000 180,000 $64,000 Etched coked glass sold after dept 2500 225,000 80.000