Recording scrap inventory. The Richter Supply Corporation maintains a Scrap Inventory account for metal scrap recovered from operations in the Cutting Department. On December 12, 19X4, 5,300 pounds of scrap with an estimated market value of $2,385 are transferred from the factory to the storeroom.

Instructions Use the same account names found in your textbook to do the following:

1. Prepare the general entry to record the storage of the metal scrap. Credit Work in Process.

2. Prepare the general journal entry to record the cash sale of 1,900 pounds of scrap at recorded value.

3. Prepare the general journal entry to record the sale of 2,100 pounds of scrap at

$.52 a pound on credit.

4. Prepare the general journal entry to record the sale on credit of 1,300 pounds of scrap at $.39 a pound.