QUESTION 4 (10 MARKS) a) Benson Industries uses a process cost system. Products are processed first by Department A, second by Department B, and then they are transferred to the finished goods warehouse. Shown below is the cost information for Department B during the month of October: RM120,000 Costs of units transferred in Manufacturing costs added in Department B: Direct materials Direct labor Manufacturing overhead Total costs charged to Department B in October RM50,000 12,000 19.000 81.000 RM201.000 The cost of work in process in Department B at October 1 is RM25,000, and the cost of work in process at October 31 has been determined to be RM30,000. Required: Prepare journal entries to record for the month of October: a) The transfer of production from Department A to B. b) The manufacturing costs incurred by Department B. c) The transfer of completed units from Department B to the finished goods warehouse. (5 Marks) b) Greer Company provides architectural services for mall development companies. The following data are available for 2016. Expected Use of Activity Cost Pool Estimated Overhead Cost Driver per Activity Secretarial support RM 220,000 25,000 professional hours Direct labor fringe benefits 200,000 RM 500,000 direct labor cost Printing and copying 30,000 20,000 pages Computer support 250,000 50,000 minutes Liability insurance 140,000 RM 2,800,000 billed revenue Required: Compute the activity-based overhead rates