Refer to the data and your answers from Exercise.

Requirements
1. Prepare the journal entries to record the assignment of direct materials and direct labor and the allocation of manufacturing overhead to the Fermenting Department. Also prepare the journal entry to record the cost of the gallons completed and transferred out to the Packaging Department.
2. Post the journal entries to the Work- in- Process Inventory—Fermenting T-account. What is the ending balance?
3. What is the average cost per gallon transferred out of the Fermenting Department into the Packaging Department? Why would Samson Winery’s managers want to know thiscost?

Gallons Beginning Work-in-Process Inventory Started in production Completed and transferred out to Packaging in March Ending workin-Process Inventory (80% of the way through the fermenting process) o gallons 9,100 gallons 7900 gallons 1,200 gallons Costs Beginning Work-in-Process Inventory Costs added during March: 0 Direct materials Direct labor Manufacturing overhead 9,828 3,500 3,588 $16,916 Total costs added during March