Cost of Production and Journal Entries

Lighthouse Paper Company manufactures newsprint. The product is manufactured in two departments, Papermaking and Converting. Pulp is first placed into a vessel at the beginning of papermaking production. The following information concerns production in the Papermaking Department for March:

Date	Item	Debit	Credit	Balance Debit	Balance Credit
March 1	Bal., 2,600 units, 35% completed			9,139
31	Direct materials, 105,000 units	330,750		339,889
31	Direct labor	40,560		380,449
31	Factory overhead	54,795		435,244
31	Goods transferred, 103,900 units		?	?
31	Bal., 3,700 units, 80% completed			?

Question Content Area

a1. Prepare the March journal entry for the Papermaking Department for the materials charged to production. If an amount box does not require an entry, leave it blank.

blank	Account	Debit	Credit
blank	CashFactory OverheadFinished GoodsMaterials-PulpWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -
	CashFactory OverheadMaterials-PulpWages PayableWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -

Question Content Area

a2. Prepare the March journal entry for the Papermaking Department for the conversion costs charged to production. If an amount box does not require an entry, leave it blank.

blank	Account	Debit	Credit
blank	CashFinished GoodsMaterialsWages ExpenseWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -
	Accounts ReceivableCashCost of Goods SoldWages PayableWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -
	Accounts PayableCashFactory OverheadMaterialsWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -

Question Content Area

a3. Prepare the March journal entry for the Papermaking Department for the completed production transferred to the Converting Department. If required, round your interim calculations to two decimal places and your final answer to the nearest dollar. If an amount box does not require an entry, leave it blank.

blank	Account	Debit	Credit
blank	CashFactory Overhead-Papermaking DepartmentFinished GoodsMaterialsWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -
	Accounts PayableCashFactory Overhead-Papermaking DepartmentMaterialsWork in Process-Converting DepartmentWork in Process-Papermaking Department	- Select -	- Select -

Question Content Area

b. Determine the Work in ProcessPapermaking Department March 31 balance. If required, round your interim calculations to two decimal places and your final answer to the nearest dollar. fill in the blank 1 of 1$