Entries for Process Cost System Preston & Grover Soap Company manufactures powdered detergent. Phosphate is placed in process in the Making Department, where it is turned into granulars. The output of Making is transferred to the Packing Department, where packaging is added at the beginning of the process. On July 1, Preston & Grover Soap Company had the following inventories: Finished Goods Work in Process-Making 10,760 Work in Process-Packing 14,020 Materials 6,080 Departmental accounts are maintained for factory overhead, which both have zero balances on July 1. Manufacturing operations for July are summarized as follows: a. Materials purchased on account B. Materials requisitioned for use Phosphate-Making Department Packaging-Packing Department Indirect materials-Making Department Indirect materials-Packing Department e. Laborused: Direct labor-Making Department Direct labor-Packing Department Indirect labor-Making Department Indirect labor-Packing Department d. Depreciation charged on fixed assets: Making Department Packing Department Expired prepaid factory insurance: Making Department Packing Department f. Applied factory overhead Making Department Packing Department $344,700 $227,700 79,200 8,910 3,200 $162,600 109,800 31,500 56,480 $29,700 24,530 $5,630 2,250 $77,630 65,770 Making Department Packing Department 9. Production costs transferred from Making Department to Packing Department h. Production costs transferred from Packing Department to Finished Goods i. Cost of goods sold during the period $77,630 85,770 $469,350 $738,680 $741,380 2. Compute the July 31 balances of the inventory accounts. Materials Work in Process-Making Department Work in Process-Packing Department Finished Goods 3. Compute the July 31 balances of the factory overhead accounts. Factory Overhead-Making Department Factory Overhead-Packing Department