Exercise 5-1 Process Costing Journal Entries [LO5-1]

Quality Brick Company produces bricks in two processing departmentsMolding and Firing. Information relating to the company's operations in March follows:

1. Raw materials used in production: Molding Department, $23,000; and Firing Department, $8,000.
2. Direct labor costs incurred: Molding Department, $12,000; and Firing Department, $7,000.
3. Manufacturing overhead was applied: Molding Department, $25,000; and Firing Department, $37,000.
4. Unfired, molded bricks were transferred from the Molding Department to the Firing Department. According to the company's process costing system, the cost of the unfired, molded bricks was $57,000.
5. Finished bricks were transferred from the Firing Department to the finished goods warehouse. According to the company's process costing system, the cost of the finished bricks was $103,000.
6. Finished bricks were sold to customers. According to the company's process costing system, the cost of the finished bricks sold was $101,000.

Required:

Prepare journal entries to record items (1) through (6) above.