Wonder Floor makes carpets with 2 departments involved in production. Fiber is placed in process in the Spinning Department, where it is spun into yarn. The output of Spinning is transferred to the Tufting Department, where carpet is added, and the process is completed. Manufacturing operations follows:
Materials purchased on account = $84,600
Materials requisitioned for use:
Fiber - Spinning Dept = $42,800
Carpet - Tufting Dept = $34,400
Indirect Material - Spinning = $3,000
Indirect Materials - Tufting = $4,000
Labor used:
DL - Spinning = $23,000
DL - Tufting = $34,000
Indirect Labor - Spinning = $7,000
Indirect Labor - Tufting = $10,000
Depreciation on fixed assets:
Spinning = $2,000
Tufting = $1,500
Production Costs transferred from Spinning to Tufting = $80,000
Production Costs transferred from Tufting to ? = $130,000
COGS during period = $150,000
Journalize the entries to record the operations