Michael Paints Has Two Processes-Coloring Department and Mixing Department

Multiple Choice

Michael Paints has two processes-Coloring Department and Mixing Department. Michael assigned $385,000 to the 5,500 gallons of paint transferred from Mixing Department to Finished Goods Inventory. The journal entry to record completion of processing is:

A) debit Work-in-Process Inventory-Mixing, $385,000; credit Finished Goods Inventory, $385,000.
B) debit Finished Goods Inventory, $385,000; credit Cost of Goods Sold, $385,000.
C) debit Cost of Goods Sold, $385,000; credit Finished Goods Inventory, $385,000.
D) debit Finished Goods Inventory, $385,000; credit Work-in-Process Inventory-Mixing, $385,000.