155, 600 Lubricants, Inc, produces a special kind of grease that is widely used by race car drivers. The grease is produced in two processing departments-Refining and Blending. Raw materials are introduced at various points in the Refining Department The following incomplete Work in Process account is available for the Refining Department for March: York in Process-Refining Departaent March 1 balance 32, 600 Completed and transferred to Blending Materials Direct labor 78, 200 Overhead March 31 balance The March 1 work in process inventory in the Refining Department consists of the following elements materials $8,200 direct labor. $3,100; and overhead, $21,300. Costs incurred during March in the Blending Department were materials used. $45.000, direct labor. $16,100; and overhead cost applied to production $118,000 Required: 1. Prepare Journal entries to record the costs incurred in both the Refining Department and Blending Department during March Key your entries to the items (a) through (g) below. 478,000 ? a. Raw materials used in production b. Direct labor costs incurred. c. Manufacturing overhead costs incurred for the entire factory, $656,000. (Credit Accounts Payable.) d. Manufacturing overhead was applied to production using a predetermined overhead rate. e. Units that were complete with respect to processing in the Refining Department were transferred to the Blending Department, $682,000 1. Units that were complete with respect to processing in the Blending Department were transferred to Finished Goods $780,000. g. Completed units were sold on account, $1,320,000. The Cost of Goods Sold was $660,000 2. Post the journal entries from (1) above to T-accounts. The following account balances existed at the beginning of March (The beginning balance in the Refining Department's Work in Process is given in the T-account shown above.) Raw materials Work in process - Blending Department Finished goods $ 213,600 $ 55,000 $ 12,000