Department 1 completed work on 500 units and transferred the

Department 1 completed work on 500 units and transferred them to Department 2. The cost of the units was? $750. What is the journal entry to record the? transfer?

Date

Accounts and Explanation

Debit

Credit

A.

Work-in-Process Inventory-Dept. 2

750

Cost of Goods Sold

750

B.

Work-in-Process Inventory-Dept. 2

750

Work-in-Process Inventory-Dept. 1

750

C.

Cost of Goods Sold

750

Work-in-Process Inventory-Dept. 1

750

D.

Work-in-Process Inventory-Dept. 1

750

Work-in-Process Inventory-Dept. 2

750

Solution

Journal entry :

So answer is b)