750 Chapter 16 Process Costing and Analysis PROBLEM SET B Dream Toys Company manufactures video game consoles and accounts for P cess costing. The company uses a single processing department. The foll regarding its June inventories following information is available Problem 16-18 Production cost flow and measurement; journal entries Beginning Ending Inventory Inventory $ 72.000 $110,000 156.000 250.000 160,000 P1 P2 P3 P Raw materials inventory Work in process inventory. Finished goods inventory 198,000 The following additional information describes the company's production activiti Raw materials purchases (on credit) . , . . Factory payroll cost (paid in cash) . . .. . . Other overhead cost (Other Accounts credited) . . . . Materials used $200,000 400,000 170.500 . . Direct Indirect Labor usecd ...$120,000 42.000 Direct .. Indirect .. $350,000 50,000 75% Overhead rate as a percent of direct labor.. Required 1. Compute the cost of (a) products transferred from production to finished goods, and (b) goods sold. 2. Prepare journal entries dated June 30 to record the following production activities during June: (a) raw k (18 Cost of goods $600,500 materials purchases, (b) direct materials usage, (c) indirect materials usage, (d) direct labor costs (e) indirect labor costs, () payment of factory payroll (g) other overhead costs, (h) overhead applied G) goods transferred from production to finished goods, and (j) sale of finished goods