Boron Chemical Company produces a synthetic resin that is used in the automotive industry. The company uses a standard cost system. For each gallon of output, the following direct manufacturing costs are anticipated:

Direct labor: 3.90 hours at $27.00 per hour $105.30 Direct materials: 3.90 gallons at $23.00 per gallon $89.70

During December of the current year, Boron produced a total of 2,690 gallons of output and incurred the following direct manufacturing costs:

Direct labor: 10,350 hours worked @ an average wage rate of $21.40 per hour Direct materials: Purchased: 11,400 gallons @ $23.45 per gallon Used in production: 10,600 gallons

Boron records price variances for materials at the time of purchase.

Required: Prepare journal entries for the following events and transactions:

1. Purchase, on credit, of direct materials. 2. Direct materials issued to production. 3. Direct labor cost of units completed this period. 4.

Direct manufacturing cost (direct labor plus direct materials) of units completed and transferred to Finished Goods Inventory.

5. Sale, for $340 per gallon, of 2,500 gallons of output. (Hint: You will need two journal entries here.)

(If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round final answers to the nearest whole dollar.)

transaction list:

1

Purchase, on credit, of direct materials.

2

Direct materials issued to production.

3

Direct labor cost of units completed this period.

4

Direct manufacturing cost (direct labor plus direct materials) of units completed and transferred to Finished Goods Inventory.

5

Record the cost of goods sold for the sale.

6

Record the sale on account.

entry for:Purchase, on credit, of direct materials.

Direct materials issued to production.

Direct labor cost of units completed this period.

Direct manufacturing cost (direct labor plus direct materials) of units completed and transferred to Finished Goods Inventory.

Record the cost of goods sold for the sale

Record the sale on account.