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 Inventory	Ending Inventory
Raw materials inventory	$146,000	$261,000
Work in process inventoryWeaving	365,000	490,000
Work in process inventorySewing	595,000	825,000
Finished goods inventory	1,336,000	1,416,000

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

Raw materials purchases (on credit)	$640,000
Other actual overhead cost (paid in cash)	184,000
Materials used
DirectWeaving	$308,000
DirectSewing	141,000
Indirect	176,000
Labor used
DirectWeaving	$1,225,000
DirectSewing	500,000
Indirect	1,650,000
Overhead rates as a percent of direct labor
Weaving	90%
Sewing	170%
Sales (on credit)	$4,550,000

rev: 05_27_2021_QC_CDR-376

1. Prepare journal entries dated June 30 to record: (a) raw materials purchases, (b) direct materials used, (c) indirect materials used, (d) direct labor used, (e) indirect labor used, (f) other actual overhead costs, and (g) overhead applied.

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.