On April 1, Telecom Manufacturing Company's beginning balances in manufacturing accounts and finished goods inventory were...
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On April 1, Telecom Manufacturing Company's beginning balances in manufacturing accounts and finished goods inventory were as follows: Raw Materials $35,000 Manufacturing Supplies 3,500 Work-in-Process 12,000 Manufacturing Overhead 0 Finished Goods 50,000 During April, Telecom Manufacturing completed the following manufacturing transactions: 1. Purchased raw materials costing $60,000 and manufacturing supplies costing $2,000 on account. (Single Transaction) 2. Requisitioned raw materials costing $52,000 to the factory. 3. Incurred direct labor costs of $18,000 and indirect labor costs of $6,500. 4. Used manufacturing supplies costing $3,800. 5. Recorded manufacturing depreciation of $11,000. 6. Miscellaneous payables for manufacturing overhead totaled $8,500. 7. Applied manufacturing overhead, based on 2,500 machine hours, at a predetermined rate of $10 per machine hour. 8. Completed jobs costing $90,500. 9. Finished goods costing $95,750 were sold. (a) Prepare "T" accounts showing the flow of costs through all manufacturing accounts, Finished Goods Inventory, and Cost of Goods Sold. (b) Calculate the balances at the end of April for Work-in-Process Inventory and Finished Goods Inventory. Enter transactions in the T-accounts in the order they appear using the first available answer box on the appropriate side. Work-in-Process Inventory Finished Goods Inventory 12,000 50,000 Bal. Bal. Raw Materials Inventory 35,000 0 Cost of Goods Sold Wages Payable 0 0 0 0 O O O O 0 Manufacturing Overhead 0 ooooo Bal. Bal. 0 0 0 0 0 0 0 Other Payables 0 0 Accumulated Depreciation- Factory Assets 0 0 0 Bal. Bal. Bal.. 0 0 0 0 0 0 0 Accounts Payable 0 0 Manufacturing Supplies 3,500 0 0 0 0 0 On April 1, Telecom Manufacturing Company's beginning balances in manufacturing accounts and finished goods inventory were as follows: Raw Materials $35,000 Manufacturing Supplies 3,500 Work-in-Process 12,000 Manufacturing Overhead 0 Finished Goods 50,000 During April, Telecom Manufacturing completed the following manufacturing transactions: 1. Purchased raw materials costing $60,000 and manufacturing supplies costing $2,000 on account. (Single Transaction) 2. Requisitioned raw materials costing $52,000 to the factory. 3. Incurred direct labor costs of $18,000 and indirect labor costs of $6,500. 4. Used manufacturing supplies costing $3,800. 5. Recorded manufacturing depreciation of $11,000. 6. Miscellaneous payables for manufacturing overhead totaled $8,500. 7. Applied manufacturing overhead, based on 2,500 machine hours, at a predetermined rate of $10 per machine hour. 8. Completed jobs costing $90,500. 9. Finished goods costing $95,750 were sold. (a) Prepare "T" accounts showing the flow of costs through all manufacturing accounts, Finished Goods Inventory, and Cost of Goods Sold. (b) Calculate the balances at the end of April for Work-in-Process Inventory and Finished Goods Inventory. Enter transactions in the T-accounts in the order they appear using the first available answer box on the appropriate side. Work-in-Process Inventory Finished Goods Inventory 12,000 50,000 Bal. Bal. Raw Materials Inventory 35,000 0 Cost of Goods Sold Wages Payable 0 0 0 0 O O O O 0 Manufacturing Overhead 0 ooooo Bal. Bal. 0 0 0 0 0 0 0 Other Payables 0 0 Accumulated Depreciation- Factory Assets 0 0 0 Bal. Bal. Bal.. 0 0 0 0 0 0 0 Accounts Payable 0 0 Manufacturing Supplies 3,500 0 0 0 0 0
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Related Book For
Managerial Accounting
ISBN: 9781259275814
11th Canadian Edition
Authors: Ray H Garrison, Alan Webb, Theresa Libby
Posted Date:
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