Question

Quality Brick Company produces bricks in two processing departments—Molding and Firing. Information relating to the company’s operations in March follows:

1. Raw materials used in production: Molding Department, $26,800; and Firing Department, $4,400.
2. Direct labor costs incurred: Molding Department, $17,900; and Firing Department, $5,600.
3. Manufacturing overhead was applied: Molding Department, $23,900; and Firing Department, $36,600.
4. Unfired, molded bricks were transferred from the Molding Department to the Firing Department. According to the company’s process costing system, the cost of the unfired, molded bricks was $68,800.
5. Finished bricks were transferred from the Firing Department to the finished goods warehouse. According to the company’s process costing system, the cost of the finished bricks was $107,300.
6. Finished bricks were sold to customers. According to the company’s process costing system, the cost of the finished bricks sold was $105,600.

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.)

Answer 1

a	Work in process-Molding Department	26800
	Work in process-Firing Department	4400
	Raw materials		31200
b	Work in process-Molding Department	17900
	Work in process-Firing Department	5600
	Wages payable		23500
c	Work in process-Molding Department	23900
	Work in process-Firing Department	36600
	Manufacturing overhead		60500
d	Work in process-Firing Department	68800
	Work in process-Molding Department		68800
e	Finished goods	107300
	Work in process-Firing Department		107300
f	Cost of goods sold	105600
	Finished goods		105600