Zelda Manufacturing organized in June and recorded the following transactions during June,...

Zelda Manufacturing organized in June and recorded the following transactions during June, its first month of operations:

1.Purchased materials costing $800,000.

2.Used direct materials in production costing $485,000.

3.Applied direct labor costs of $500,000 to various jobs.

4.Applied manufacturing overhead at a rate of 510 per direct labor hour. (Direct labor workers earn $20 per hour.)

5. Incurred actual manufacturing overhead exists of $245,000 (credit “Various Accounts”),  

6. Transferred completed jobs costing $745,000 to finished goods.

7. Sold completed jobs for $1,000,000 on account. The cost applied to the jobs sold totaled $615,000.

8. Closed the Manufacturing Overhead account directly to Cost of Goods Sold on June 30.

a. Prepare a journal entry for each of the eight transactions listed above.

b. Compute the balance of the Cost of Goods Sold account at June 30.

c. Determine the company s inventory balances at the end of June.