QUESTION $3(17$ marks$)(20$ minutes$)$

Continuous Process $($Pty$)$ Ltd manufactures a single product and uses a process costing

system. The company recorded the following information for June $2024$:

Opening work in progress $("$opening WIP"$)$: $40\%$ complete

Closing work in progress $("$closing WIP"$)$: $70\%$ complete

New units put into production in June $2024$

Completed and transferred in June $2024$

$R$

Normal losses are estimated at $5\%$ of the units that reach the wastage point.

Normal losses occur when the process is $60\%$ complete.

Raw materials are added at the beginning of the process and conversion takes place

evenly throughout the process.

Costs information was as follows: