Exercise $6-32$ Journal Entries, Basic Cost Flows

In November, Curtis Company had the following cost flows:

Molding

Department

Grinding

Department

Finishing

Department

Direct materials $$55,800$ $ $15,000$ $ $8,600$

Direct labor $4,0006,8005,800$

Applied overhead $4,20030,2005,600$

Transferred$-$in cost:

From Molding $64,000$

From Grinding $116,000$

Total cost $$64,000$ $$116,000$ $$136,000$

Required:

$1.$ Prepare the journal entries to transfer costs from $($a$)$ Molding to Grinding, $($b$)$ Grinding to

Finishing, and $($c$)$ Finishing to Finished Goods.

$2.$ Conceptual Connection: Explain how the journal entries differ from a job$-$order cost system.