Requirements 1. Prepare the journal entries to record the assignment of direct materials and direct labor and the allocation of manufacturing overhead to the Fermenting Department. Assume labor costs are accrued and not yet paid. Also prepare the journal entry to record the cost of the gallons completed and transferred out to the Packaging Department. 2. Post the journal entries to the Work-in-Process InventoryFermenting T-account. What is the ending balance? 3. What is the average cost per gallon transferred out of the Fermenting Department into the Packaging Department? Why would Shea Winery's managers want to know this cost? Print Print Done Done Gallons Beginning Work-in-Process Inventory 500 gallons Started in production Completed and transferred out to Packaging in March Ending Work-in-Process Inventory (80% of the way through the fermenting process) 8,600 gallons 7,900 gallons 1,200 gallons Beginning work-in-Process inventory: Direct materials 540 195 Direct labor 210 Manufacturing overhead allocated Costs added during March: Direct materials Direct labor 9,288 3,305 3,378 Manufacturing overhead allocated $ 15,971 Total costs added during March Show transcribed image text