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Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning ofeach process, and conversion costs

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Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning ofeach process, and conversion costs are added evenly throughout each process. The company reports the following for a recent month. Cooking Bottling Beginning work in process inventory 3 0 $ 5,800 Activity during the month Direct materials 3 10,300 $ 3,500 Direct labor 12,300 7,100 Overhead applied 15,300 3,000 Costs transferred from Cooking to Bottling $ 42,300 Costs transferred from Bottling to finished goods 57,300 1. Preparejournal entries to record [a] direct materials used. {b} direct labor, and (c) overhead applied. 2. Preparejournal entries to record the costs transferred from {a} Cooking to Bottling and {b} Bottling to Finished Goods. 3. Use T-accounts to compute {a} the ending balance of Work in Process InventoryCooking and {b} the ending balance of Work in Process InventoryBottling. Required 1 Required 2 Required 3 Prepare journal entries to record (a) direct materials used, (b) direct labor, and (c) overhead applied. View transaction list Journal entry worksheet 2 3 Record direct materials used in production. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general journalJournal entry worksheet Record direct labor used in production. Note: Enter debits before credits. Journal entry worksheet A 1 2 3 Record the application of overhead to production. Note: Enter debits before credits. Transaction General Journal Debit Credit C. Record entry Clear entry View general journalJournal entry worksheet 2 Record the transfer of costs from Cooking to Bottling. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general journalJournal entry worksheet A 2 Record the transfer of costs from Bottling to Finished Goods. Note: Enter debits before credits. Transaction General Journal Debit Credit b. Record entry Clear entry View general journalUse T-accounts to compute (a) the ending balance of Work in Process Inventory-Cooking and (b) the ending balance of Work in Process Inventory-Bottling. Work in Process Inventory-Cooking Work in Process Inventory-Bottling Debit Credit Debit Credit Beginning balance Beginning balance Ending balance Ending balance

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