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Shamrock Industries uses process costing. All of the company's manufacturing activities take place in a single processing department. The following information was available for the month of June.
Direct materials
$
84,000
Direct labor
25,000
Manufacturing overhead applied
41,000
Total costs to account for in June
150,000
The amounts of work in process at the beginning and end of the month were immaterial and assigned no dollar value. During June, 13,250 units were completed, of which 10,000 were sold on account at $25 per unit.
a. Prepare a journal entry to summarize the total manufacturing costs applied to production in June.
b. Prepare the journal entry to transfer completed units from work in process to the finished goods warehouse in June.
c. Prepare the journal entries to record the sale of 10,000 units manufactured during the period and the related cost of goods sold.
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