Brief Exercises: Set B Brief Exercise 6-31. Basic Cost Flows Objective 1. Example 6.1 Hardy Company produces 18-ounce boxes of a rolled oat cereal in three departments: mixing, cooking, and packaging. During September, Hardy produced 200,000 boxes with the following costs: Direct materials Direct labor Applied overhead Mixing Department $600,500 Cooking Department $285,500 Packaging Department $250,000 120,000 90,000 117,000 Required: 1. Calculate the costs transferred out of each department. 2. Prepare journal entries that reflect these cost transfers. 50,000 65,000 156,000