Pro-Weave manufactures stadium blankets by passing the products through a weaving department and then a sewing department. The following information is available regarding its June inventories:

Beginning InventoryEnding InventoryRaw materials inventory$ 120,000$ 217,000Work in process inventoryWeaving440,000425,000Work in process inventorySewing720,000725,000Finished goods inventory1,366,0001,236,000

The following additional information describes the companys manufacturing activities for June:

Raw materials purchases (on credit)$ 510,000Other actual overhead cost (paid in cash)166,000Materials used DirectWeaving$ 270,000DirectSewing129,000Indirect140,000Labor used DirectWeaving$ 1,225,000DirectSewing460,000Indirect1,625,000Overhead rates as a percent of direct labor Weaving85%Sewing155%Sales (on credit)$ 5,000,000

Required:

1. Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold. Hint: Compute the total production costs in each department and then subtract the ending inventory to get the amount transferred out of each department.
2. Prepare journal entries dated June 30 to record (a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods, (c) sale of finished goods, and (d) cost of goods sold.