Rock'On Company produces wooden rocking chairs. The company has two sequential produc- tion departments, Cutting and Assembly. The wood is cut and sanded in Cutting and then trans- ferred to Assembly to be assembled and painted. From Assembly, the chairs are transferred to Finished Goods Inventory and then are sold.
Rock'On has compiled the following information for the month of February.

Required:
Prepare the following journal entries for Rock'On:

1. Amount of direct materials, direct labor, and manufacturing overhead incurred for the Cutting department.

2. Transfer of products from Cutting to Assembly.

3. Amount of direct materials, direct labor, and manufacturing overhead incurred by the  Assembly department.

4. Transfer of chairs from Assembly to Finished Goods.

Transcribed Image Text:

Direct materials Direct labor Applied manufacturing overhead Cost of goods completed and transferred out Cutting Department Assembly Department $ 75,000 65,000 150,000 234,000 $ 12,000 99,000 167,000 253,000