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 Work in Process-Making Work in Process-Packing Materials $12,920 5,020 6,540 2,840 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 b. Materials requisitioned for use: Phosphate-Making Department Packaging-Packing Department Indirect materials-Making Department Indirect materials-Packing Department c. Labor used: $160,860 $106,260 36,960 4,160 1,490 Direct labor-Making Department $75,920 Direct labor-Packing Department 51,240 Indirect labor-Making Department 14,700 Indirect labor-Packing Department 26,360 d. Depreciation charged on fixed assets: Making Department $13,860 Packing Department 11,450 e. Expired prepaid factory insurance: Making Department Packing Department $2,630 1,050