Schrager Company has two production departments: Cutting and Assembly. July 1 inventories are Raw Materials $4,300, Work in Process-Cutting $3,000, Work in Process-Assembly $10,700, and Finished Goods $32,000. During July, the following transactions occurred. 1. 2. 3. 4. 5. Purchased $62,600 of raw materials on account. Incurred $60,100 of factory labor. (Credit Wages Payable.) Incurred $71,000 of manufacturing overhead; $41,000 was paid and the remainder is unpaid. Requisitioned materials for Cutting $15,800 and Assembly $9,000. Used factory labor for Cutting $33,100 and Assembly $27,000. Applied overhead at the rate of $19 per machine hour. Machine hours were Cutting 1.690 and Assembly 1,750. Transferred goods costing $67,700 from the Cutting Department to the Assembly Department. Transferred goods costing $135,000 from Assembly to Finished Goods. Sold goods costing $151,000 for $201,000 on account. 6. 7. 8. 9. No. Account Titles and Explanation Debit Credit 1. 2. 3. 5. 6. 7. 8. 9. (To record the cost of goods sold) (To record the sale)