Homework 17 eBook Show Me How Calculator Print Item Entries for Process Cost System Preston & Graver 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 $22,880 8,890 11,590 Materials 5,020 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 $284,950 b. Materials requisitioned for use Phosphate-Making Department $188,230 Packaging-Packing Department Indirect materials-Making Department 65,470 7,370 2,640 Indirect materials-Packing Department c. Labor used $134,480 Direct labor-Making Department Direct labar-Packing Department Indirect laborMaking Department 90,770 26,040 Item Account Credit Debit 284,950 a. Materials Accounts Payable 284,950 b. Work in Process-Making Department -Making Department Work in Process-Packing Department Factory Overhead-Making Department 188,230 V 65,470 7,370 Factory Overhead-Packing Department 2,640 Materials c. Work in Process-Making Department Work in Process-Packing Department 134,480 90,770 26,040 Factory Overhead-Making Department Factory Overhead-Packing Department Wages Payable d Factory Overhead-Making Department 24,550 Factory Overhead-Packing Department 20,270 Accumulated Depreciation d. Factory Overhead-Making Department 24,550 Factory Overhead-Packing Department 20,270 Accumulated Depreciation e. Factory Overhead-Making Department 4,650 Factory Overhead-Packing Department 1,860 Prepaid Insurance Work in Process-Making Department 64,170 Work in Process-Packing Department 70,900 Factory Overhead-Making Department Factory Overhead-Packing Department g. Work in Process-Packing Department 388,000 Work in Process-Making Department 388,000 h. Finished Goods 610,640 Work in Process-Packing Department 610,640 Work in Process-Packing Department 610,640 Cost of Goods Sold 612,870 Finished Goods 612,870 2. Compute the July 31 balances of the inventory accounts. Materials " Work in Process-Making Department " Work in Process-Packing Department " Finished Goods $ 22,880 x 3. Compute the July 31 balances of the factory overhead accounts. If required, use the minus sign to indicate a credit balance. Factory Overhead-Making Department Credit A Factory Overhead-Packing Department Debit