Chen Textile Company's Job A had normal spoilage with the estimated disposal selling price of $500 in March attributable to this particular job; its job B had normal spoilage with the estimated cost of $300 from the general production process failure and abnormal spoilage of $100. The company also incurred scrap due to a specific job and sold it for $60 cash. It also sold the scrap common to all jobs for $110 cash in March.
Required:
(1) Prepare the necessary journal entries to record normal and abnormal spoilage costs.
(2) Prepare the necessary journal entries to record both types of scrap sold.

Question

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The Answer of Chen Textile Company's Job A had normal spoilage with the estimated disposal selling price of $500 in March attributable to this particular job; its job B had normal spoilage with the estimated cost of $300 from the general production process failure and abnormal spoilage of $100. The company also incurred scrap due to a specific job and sold it for $60 cash. It also sold the scrap common to all jobs for $110 cash in March.
Required:
(1) Prepare the necessary journal entries to record normal and abnormal spoilage costs.
(2) Prepare the necessary journal entries to record both types of scrap sold.

Chen Textile Company's Job a Had Normal Spoilage with the Estimated