Lubricants, Incorporated, produces a special kind of grease that is widely used by race car drivers. The grease is produced in two processing departments-Refining and Blending. Raw materials are introduced at various points in the Refining Department. The following incomplete Work in Process account is available for the Refining Department for March: Work in Process-Refining Department Debit March 1 balance 33,300 Credit Completed and transferred to Blending ? Materials Direct labor Overhead 150,600 73,200 480,000 March 31 balance The March 1 work in process inventory in the Refining Department consists of the following elements: materials, $7,600, direct labor $4,400; and overhead, $21,300. Costs incurred during March in the Blending Department were: materials used, $44,000; direct labor, $16,800, and overhead cost applied to production, $103,000. Required: 1. Prepare journal entries to record the costs incurred in both the Refining Department and Blending Department during March Key your entries to the items (a) through (g) below. Required: 1. Prepare journal entries to record the costs incurred in both the Refining Department and Blending Department during March Key your entries to the items (a) through (g) below. a. Raw materials used in production. b. Direct labor costs incurred. c. Manufacturing overhead costs incurred for the entire factory, $646,000. (Credit Accounts Payable) d. Manufacturing overhead was applied to production using a predetermined overhead rate. e. Units that were complete with respect to processing in the Refining Department were transferred to the Blending Department, $622,000. f. Units that were complete with respect to processing in the Blending Department were transferred to Finished Goods, $720,000. g. Completed units were sold on account, $1,460,000. The Cost of Goods Sold was $670,000 2. Post the journal entries from (1) above to T-accounts. The following account balances existed at the beginning of March. (The beginning balance in the Refining Department's Work in Process is given in the T-account shown above) Raw materials Work in process-Blending Department Finished goods $212,600 $ 53,000 $ 23,000 Journal entry worksheet 2 3 4 5 6 7 Look int Record issuance of raw materials to Refining and Blending Department. ences Note: Enter debits before credits. Transactions a. General Journal Debit Credit Record entry Clear entry View general journal < 1 4 5 6 8 Record direct labor cost incurred for Refining and Blending Department. Note: Enter debits before credits. Transactions b. General Journal Debit Credit View general journal Recordantty Clear entry Journal entry worksheet < 1 2 3 4 5 6 7 8 Record manufacturing overhead costs incurred for the entire factory. Note: Enter debits before credits. Transactions C General Journal Debit Credit Clear entry View general journal Journal entry worksheet < 1 2 3 5 7 8 Record entry to apply overhead cost to production at a predetermined rate to the Refining Department and Blending Department. Note: Enter debits before credits. Transactions d General Journal Debit Credit Clear entry View general journal ces Journal entry worksheet < 1 2 3 4 6 7 8 Record transfer of semi finished units from Refining to Blending Department. Note: Enter debits before credits. Transactions e General Journal Debit Credit Record entry Clear entry View general journal Journal entry worksheet 1 2 3 4 5 7 8 ok nt Record the transfer of completed units from the Blending Department to finished goods. Note: Enter debits before credits. ences Transactions General Journal Debit Credit Clear entry View general journal book int Journal entry worksheet < 2 3 4 5 6 Record sales on account. ences Note: Enter debits before credits. Transactions 9(1). 9 8 General Journal Debit Credit Record entry Clear entry View general journal Journal entry worksheet 2 3 4 5 6 7 Record cost of goods sold. Note: Enter debits before credits. Transactions g(2). General Journal Debit Credit Rocord entry Clear entry View general journal Required 1 Required 2 Post the journal entries from Requirement 1 to T-accounts. Accounts Receivable Debit Beginning Balance Ending Balance Beginning Balance Ending Balance 0 Raw Materials Credit Debit Credit Beginning Balance Work in Process-Refining Department Debit Ending Balance Work in Process--Blending Department Credit Debit Beginning Balance Ending Balance Credit my work Beginning Balance Ending Balance Beginning Balance Ending Balance Finished Goods Debit Credit Debit Beginning Balance 0 Ending Balance Manufacturing Overhead Credit 0 Accounts Payable Salaries and Wages Payable Debit Credit Debit Credit Beginning Balance Ending Balance Check m Beginning Balance Ending Balance Debit Credit Beginning Balance Debit Sales Ending Balance Check my w Debit Credit Beginning Balance Ending Balance Cost of Goods Sold Credit Debit Credit Beginning Balance 0 Ending Balance < Required 1