Quality Brick Company produces bricks in two processing departmentsMoulding and Firing. Information relating to the companys operations

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Quality Brick Company produces bricks in two processing departments—Moulding and Firing. Information relating to the company’s operations in March follows:

a. Raw materials were issued for use in production: Moulding Department, $25,000; Firing Department, $10,000.

b. Direct labour costs were incurred: Moulding Department, $15,000; Firing Department, $10,000.

c. Manufacturing overhead was applied: Moulding Department, $29,000; Firing Department, $40,000.

d. Unfired, moulded bricks were transferred from the Moulding Department to the Firing Department. According to the company’s process costing system, the cost of the unfired moulded bricks was $61,000.

e. Finished bricks were transferred from the Firing Department to the finished goods warehouse. According to the company’s process costing system, the cost of the finished bricks was $110,000.

f. Finished bricks were sold to customers. According to the company’s process costing system, the cost of the finished bricks sold was $107,000.


Required:

Prepare journal entries to record items (a) through (f).

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Related Book For  book-img-for-question

Introduction to Managerial Accounting

ISBN: 978-1259105708

5th Canadian edition

Authors: Peter C. Brewer, Ray H. Garrison, Eric Noreen, Suresh Kalagnanam, Ganesh Vaidyanathan

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