Preston & Grover 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	$26,810
Work in ProcessMaking	10,420
Work in ProcessPacking	13,580
Materials	5,890

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		$333,980
b.	Materials requisitioned for use
		PhosphateMaking Department	$220,620
		PackagingPacking Department	76,740
		Indirect materialsMaking Department	8,630
		Indirect materialsPacking Department	3,100
c.	Labor used
		Direct laborMaking Department	$157,610
		Direct laborPacking Department	106,380
		Indirect laborMaking Department	30,520
		Indirect laborPacking Department	54,720
d.	Depreciation charged on fixed assets
		Making Department	$28,780
		Packing Department	23,760
e.	Expired prepaid factory insurance
		Making Department	$5,450
		Packing Department	2,180
f.	Applied factory overhead
		Making Department	$75,210
		Packing Department	83,100
g.	Production costs transferred from Making Department to Packing Department		$454,750
h.	Production costs transferred from Packing Department to Finished Goods		$715,690
i.	Cost of goods sold during the period		$718,310

Required:

1. Journalize the entries to record the operations, identifying each entry by letter. For a compound transaction, if an amount box does not require an entry, leave it blank.

Item	Account	Debit	Credit
a.
b.
c.
d.
e.
f.
g.
h.
i.

2. Compute the July 31 balances of the inventory accounts.

Materials	$
Work in ProcessMaking Department	$
Work in ProcessPacking Department	$
Finished Goods	$

3. Compute the July 31 balances of the factory overhead accounts.

Factory OverheadMaking Department	$
Factory OverheadPacking Department	$