1. General Mills Company produces a product which requires several departments. Two of those departments are the (1) Mixing and (2) Baking departments. The company uses a process cost accounting system. During March the company had the following transactions for these departments:
(a) Manufacturing overhead is applied to the product based on the following for each department:
Mixing department--270 machine hours at $35 per machine hour.
Baking department—360 direct labor hours at $24 per hour.
(b) Units costing $41,000 were completed in the Mixing Department and were transferred to the Baking Department.
(c) Units costing $52,000 were completed in the Baking Department and were transferred to Packaging Department.
Instructions
Prepare the journal entries to record the preceding transactions (a, b, c) for General Mills Company.