Backflush costing Similar to Self-Study Problem 2 J. Sewerd, Inc. uses backflush costing to account for its manufacturing costs. The trigger points for recording inventory transactions are the purchase of materials, the completion of products, and the sale of completed products. Required: 1. Prepare journal entries, if needed, to account for the following transactions.

a. Purchased raw materials on account, $150,000.

b. Requisitioned raw materials to production, $150,000.

c. Distributed direct labor costs, $25,000.

d. Manufacturing overhead costs incurred, $100,000. (Use Various Credits for the credit part of the entry.)

e. Cost of products completed, $275,000.

f. Completed products sold for $400,000, on account. 2. Prepare any journal entries that would be different than above, if the only trigger points were the purchase of materials and the sale of finished goods.