Watercraft's predetermined overhead rate is 200% of direct labor. Information on the company's production activities during...
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Watercraft's predetermined overhead rate is 200% of direct labor. Information on the company's production activities during May follows. a. Purchased raw materials on credit, $240,000. b. Materials requisitions record use of the following materials for the month. Job 136 $ 48,000 Job 137 32,000 Job 138 19,800 Job 139 23,200 Job 140 6,800 Total direct materials 129,800 Indirect materials 21,500 Total materials requisitions $ 151,300 c. Time tickets record use of the following labor for the month. These wages were paid in cash. Job 136 $ 12,100 Job 137 10,600 Job 138 38,100 Job 139 39,200 Job 140 3,800 Total direct labor 103,800 Indirect labor 25,000 Total labor cost $ 128,800 d. Applied overhead to Jobs 136, 138, and 139. e. Transferred Jobs 136, 138, and 139 to Finished Goods Inventory. f. Sold Jobs 136 and 138 on credit at a total price of $525,000. g. Recorded the cost of goods sold for Jobs 136 and 138. h. Incurred the following actual other overhead costs during the month. Depreciation of factory building $ 69,500 Depreciation of factory equipment Expired factory insurance 38,000 10,000 35,500 Accrued property taxes payable i. Applied overhead at month-end to the Work in Process Inventory account (for Job 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. Problem 15-4A (Algo) Part 3 3. Post the journal entries for the transactions to the following T-accounts, each of which started the month with a zero baland Raw Materials Inventory Work in Process Inventory Ending balance Ending balance 0 Factory Overhead Finished Goods Inventory Ending balance 0 Ending balance 0 Cost of Goods Sold Ending balance 0 Watercraft's predetermined overhead rate is 200% of direct labor. Information on the company's production activities during May follows. a. Purchased raw materials on credit, $240,000. b. Materials requisitions record use of the following materials for the month. Job 136 $ 48,000 Job 137 32,000 Job 138 19,800 Job 139 23,200 Job 140 6,800 Total direct materials 129,800 Indirect materials 21,500 Total materials requisitions $ 151,300 c. Time tickets record use of the following labor for the month. These wages were paid in cash. Job 136 $ 12,100 Job 137 10,600 Job 138 38,100 Job 139 39,200 Job 140 3,800 Total direct labor 103,800 Indirect labor 25,000 Total labor cost $ 128,800 d. Applied overhead to Jobs 136, 138, and 139. e. Transferred Jobs 136, 138, and 139 to Finished Goods Inventory. f. Sold Jobs 136 and 138 on credit at a total price of $525,000. g. Recorded the cost of goods sold for Jobs 136 and 138. h. Incurred the following actual other overhead costs during the month. Depreciation of factory building $ 69,500 Depreciation of factory equipment Expired factory insurance 38,000 10,000 35,500 Accrued property taxes payable i. Applied overhead at month-end to the Work in Process Inventory account (for Job 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. Problem 15-4A (Algo) Part 3 3. Post the journal entries for the transactions to the following T-accounts, each of which started the month with a zero baland Raw Materials Inventory Work in Process Inventory Ending balance Ending balance 0 Factory Overhead Finished Goods Inventory Ending balance 0 Ending balance 0 Cost of Goods Sold Ending balance 0
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Materials labor overhead total 2 TR a b c d job 136 job ... View the full answer
Related Book For
Fundamental Accounting Principles
ISBN: 978-0077862275
22nd edition
Authors: John Wild, Ken Shaw, Barbara Chiappetta
Posted Date:
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