If Department J uses $40,000 of direct materials and Department K uses $70,000 of direct materials,the following journal entry would be recorded by the process cost accounting system:
$\begin{array}{llr}
\text { Raw Materials Inventory } &70,000\
\text { Goods in Process Inventory, Department J } &40,000\
\text { Goods in Process Inventory, Department K } &30,000
\end{array}$

Question

If Department J uses $40,000 of direct materials and Department K uses $70,000 of direct materials,the following journal entry would be recorded by the process cost accounting system:
 $\begin{array}{llr}
  \text { Raw Materials Inventory } &70,000\
 \text { Goods in Process Inventory, Department J } &40,000\
 \text { Goods in Process Inventory, Department K } &30,000
\end{array}$

Quizplus · Accepted Answer

The journal entry would depend on additional information such as the allocation of indirect costs and any transfers of goods between departments. The information given is not sufficient to determine a specific journal entry.

If Department J Uses $40,000 of Direct Materials and Department