Journal Entries Sharma Company has three process departments: Mixing, Encapsulating, and Bottling. At the beginning of the year, there were no work-in-process or finished goods inventories. The following data are available for the month of July Ending Work in Manufacturing Costs Added Department Process Mixing $85,530 $21,620 Encapsulating 79,010 18,230 Bottling 72,460 4,030 *Includes only the direct materials, direct labor, and the overhead used to process the partially finished goods received from the prior department. The transferred-in cost is not included. Required: 1. Prepare journal entries that show the transfer costs (a) from Mixing to Encapsulating, (b) from Encapsulating Bottling, and (c) from Bottling to finished goods inventory 85,530 x a. Work in Process-Encapsulating Work in Process-Mixing 85,330 b. C. Feedback Check My Virk As the work is finished in a process (department), the partially completed units and all their associated costs are transferred to the next process (department) by debiting the WIP account of the process receiving the unit and crediting the WIP account of the transferring process (department). As the work is finished in a process (department), the partially completed units and all their associated costs are transferred to the next process (department) by debiting the WIP account of the process receiving the unit and crediting the WIP account of the transferring process (department). 2. Post the entries made Requirement 1 into the T-accounts below. The costs added from the data provided have been entered in the T-accounts. WIP-Mixing 85,530 21,620 WIP-Encapsulating 79,010 18,230 WIP-Bottling 72,460 4,030 Finished Goods Feedback Check My Work Recall that cost flows for process costing are the same as for job-order costing except that units may move from one process (department) to another, rather than from one process (department) to finished goods