Questions:
1. Prepare journal entries to record its following production activities.
a. Purchased $80,000 of raw materials on credit.
b. Used $34,000 of direct materials in production.
c. Used $41,000 of indirect materials.
2. Prepare journal entries to record the following production activities.
a. Incurred total labor cost of $77,000, which is paid in cash.
b. Used $58,000 of direct labor in production.
c. Used $19,000 of indirect labor.