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5,210 Entries for Process Cost System Preston & Grover Soap Company manufactures powdered detergent. Phosphate is placed in process in the Making Department, where it

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5,210 Entries for Process Cost System Preston & Grover Soap Company manufactures powdered detergent. Phosphate is placed in process in the Making Department, where it is turned into granulars. The output of Making is transferred to the Packing Department, where packaging is added at the beginning of the process. On July 1, Preston & Grover Soap Company had the following inventories: Finished Goods $23,740 Work in Process-Making 9,230 Work in Process-Packing 12,020 Materials Departmental accounts are maintained for factory overhead, which both have zero balances on July 1. Manufacturing operations for July are summarized as follows: a. Materials purchased on account $295,680 b. Materials requisitioned for use Phosphate--Making Department $195,320 Packaging --Packing Department 67,940 Indirect materials-Making Department 7.640 Indirect materials --Packing Department 2.740 C. Labor used Direct labor-Making Department Direct labor---Packing Department $139,540 Labor used $139,540 94.180 27,020 48,440 Direct labor-Making Department Direct labor--Padang Department Indirect labor-Making Department Indirect labor-Packing Department d. Depreciation charged on fixed assets Making Department Packing Department e. Expired prepaid factory insurance Making Department Packing Department 1. Applied factory overhead Maling Department $25,480 21,040 $4,830 1.930 $66,590 73,570 $402,600 Packing Department 9. Production costs transferred from Making Department to Packing Department h. Production costs transferred from Packing Department to Finished Goods Cost of goods sold during the period Required: $633.620 $635.940 1. Journalize the entries to record the operations, identifying each entry by letter. For a compound transaction, if an amount box does not require an entry, leave it blank

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