Vermillion,Inc.has two processes-Dyeing Department and Finishing.The company sold 2,000 bolts of cloth for $220,000,of which $150,000 was sold on account.The total production cost was $385,000 for 5,500 bolts of cloth.The perpetual inventory system and process costing are used.What are the journal entries to record a sale if the company follows a process costing system?

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The Answer of Vermillion,Inc.has two processes-Dyeing Department and Finishing.The company sold 2,000 bolts of cloth for $220,000,of which $150,000 was sold on account.The total production cost was $385,000 for 5,500 bolts of cloth.The perpetual inventory system and process costing are used.What are the journal entries to record a sale if the company follows a process costing system?