Schrager Company has two production departments: Cutting and Assembly. July 1 inventories are Raw Materials $4,200, Work in Process—Cutting $2,900, Work in Process—Assembly $10,600, and Finished Goods $31,000. During July, the following transactions occurred.
| 1. | Purchased $62,500 of raw materials on account. |
| 2. | Incurred $60,000 of factory labor. (Credit Factory Wages Payable.) |
| 3. | Incurred $70,000 of manufacturing overhead; $40,000 was paid and the remainder is unpaid. |
| 4. | Requisitioned materials for Cutting $15,700 and Assembly $8,900. |
| 5. | Used factory labor for Cutting $33,000 and Assembly $27,000. |
| 6. | Applied overhead at the rate of $18 per machine hour. Machine hours were Cutting 1,680 and Assembly 1,720. |
| 7. | Transferred goods costing $67,600 from the Cutting Department to the Assembly Department. |
| 8. | Transferred goods costing $134,900 from Assembly to Finished Goods. |
| 9. | Sold goods costing $150,000 for $200,000 on account. |
Journalize the transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
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No.
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Account Titles and Explanation
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