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Schneider Brot is a bread-baking company located in Aachen, Germany, near the Dutch border. The company uses a process costing system for its single producta popular pumpernickel bread. Schneider Brot has two processing departmentsMixing and Baking. The T-accounts below show the flow of costs through the two departments in April (all amounts are in the currency euros):

Work in ProcessMixing

Balance 4/1	12,000		Transferred out	764,000
Direct materials	325,000
Direct labor	260,000
Overhead	187,000

Work in ProcessBaking

Balance 4/1	17,000		Transferred out	976,000
Transferred in	764,000
Direct labor	121,000
Overhead	94,000

Required:

Prepare journal entries showing the flow of costs through the two processing departments during April.

General Journal	Debit	Credit
Raw materials issued.
(Click to select)Finished goodsWork in process-BakingWork in process-MixingSalaries and wages payableManufacturing overheadDirect laborCost of goods soldRaw materials inventory
(Click to select)Raw materials inventoryWork in process-BakingSalaries and wages payableFinished goodsWork in process-MixingManufacturing overheadCost of goods soldDirect labor
Direct labor incurred.
(Click to select)Cost of goods soldRaw materials inventoryManufacturing overheadDirect laborWork in process-BakingWork in process-MixingFinished goodsSalaries and wages payable
(Click to select)Work in process-BakingDirect laborSalaries and wages payableManufacturing overheadWork in process-MixingFinished goodsCost of goods soldRaw materials inventory
(Click to select)Salaries and wages payableDirect laborManufacturing overheadCost of goods soldRaw materials inventoryWork in process-BakingFinished goodsWork in process-Mixing
Manufacturing overhead applied.
(Click to select)Finished goodsCost of goods soldRaw materials inventoryManufacturing overheadWork in process-MixingWork in process-BakingSalaries and wages payableDirect labor
(Click to select)Direct laborManufacturing overheadWork in process-MixingCost of goods soldFinished goodsWork in process-BakingRaw materials inventorySalaries and wages payable
(Click to select)Manufacturing overheadWork in process-MixingCost of goods soldSalaries and wages payableRaw materials inventoryDirect laborWork in process-BakingFinished goods
Work completed in Mixing Department.
(Click to select)Raw materials inventoryDirect laborSalaries and wages payableWork in process-MixingWork in process-BakingFinished goodsManufacturing overheadCost of goods sold
(Click to select)Raw materials inventoryFinished goodsCost of goods soldSalaries and wages payableDirect laborManufacturing overheadWork in process-MixingWork in process-Baking
Work completed in Baking Department.
(Click to select)Cost of goods soldSalaries and wages payableDirect laborRaw materials inventoryFinished goodsWork in process-BakingManufacturing overheadWork in process-Mixing
(Click to select)Finished goodsCost of goods soldWork in process-MixingWork in process-BakingRaw materials inventorySalaries and wages payableManufacturing overheadDirect labor

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