Cost of Production and Journal Entries AccuBlade Castings Inc. casts blades for turbine engines. Within the Casting Department, alloy is first melted in a crucible, then poured into molds to produce the castings. On May 1, there were 700 pounds of alloy in process, which were 70% complete as to conversion. The Work in Process balance for these 700 pounds was $110,390, determined as follows: $ 105,000 Direct materials (700 x $150) Conversion (700 x 70% x $11) 5,390 $110,390 During May, the Casting Department was charged $963,600 for 6,600 pounds of alloy and $26,440 for direct labor. Factory overhead is applied to the department at a rate of 150% of direct labor. The department transferred out 6,800 pounds of finished castings to the Machining Department. The May 31 inventory in process was 60% complete as to conversion. al. Prepare the May journal entry for the Casting Department for the materials charged to production. Work in Process-Casting Department Materials-Alloy a2. Prepare the May journal entry for the Casting Department for the conversion costs charged to production. If an amount box does not require an entry, leave it blank. Work in Process-Casting Department Wages Payable Factory Overhead-Casting Department a3. Prepare the May journal entry for the Casting Department for the completed production transferred to the Machining Department. Work in Process-Machining Department Work in Process-Casting Department b. Determine the Work in Process-Casting Department May 31 balance. C. Compute the change in the costs per equivalent unit for direct materials and conversion from the previous month (April). Cost per Equivalent Unit Change in materials Decrease $ Change in conversion Decrease