NYI Corporation manufactures decorative window glass in two sequential departments. These data pertain to the month of August:

Required
Prepare journal entries to record these events:
1. Incurrence of direct materials and direct labor. Application of factory overhead in department 1.
2. Transfer of products from department 1 to department 2.
3. Incurrence of direct materials and direct labor. Application of factory overhead in department 2.
4. Transfer of complete products from department 2 to finished goodsinventory.

Transcribed Image Text:

Direct materials used for production Direct labor Applied factory overhead Costs of goods completed and transferred Department 1 $55,000 160,000 340,000 850,000 Department 2 $ 32,000 320,000 250,000 740,000