Quality Brick Company produces bricks in two processing departmentsMolding and Firing. Information relating to the...
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Accounting
Quality Brick Company produces bricks in two processing departmentsMolding and Firing. Information relating to the companys operations in March follows:
- Raw materials used in production: Molding Department, $29,300; and Firing Department, $5,900.
- Direct labor costs incurred: Molding Department, $16,500; and Firing Department, $4,100.
- Manufacturing overhead was applied: Molding Department, $23,100; and Firing Department, $38,600.
- Unfired, molded bricks were transferred from the Molding Department to the Firing Department. According to the companys process costing system, the cost of the unfired, molded bricks was $69,800.
- Finished bricks were transferred from the Firing Department to the finished goods warehouse. According to the companys process costing system, the cost of the finished bricks was $108,000.
- Finished bricks were sold to customers. According to the companys process costing system, the cost of the finished bricks sold was $104,700.
Required:
Prepare journal entries to record items (a) through (f) above. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
1. Record issuance of raw materials for use in production.
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2. Record direct labor costs incurred.
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3. Record entry to apply manufacturing overhead.
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4. Record transfer of unfired, molded bricks from the molding department to the firing department.
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5. Record transfer of finished bricks from the firing department to the finished goods warehouse.
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6. Record cost of goods sold.
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