Exercise 16-21 Recording costs of materials LO P1 Prepare journal entries to record the following production activities. 1. Purchased $40,000 of raw materials on credit. 2. Used $21,000 of direct materials in production 3. Used $21,500 of indirect materials in production. View transaction list Journal entry worksheet Record materials purchased on credit. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal