14-B1 Job-Order Costing, Basic Journal Entries

Consider the following data for Birmingham Printing Company (in thousands):

Inventories, December 31, 2011
Direct materials	12
Work in process	20
Finished goods	130

Summarized transactions for 2012 are as follows:

a. Purchases of direct materials	74
b. Direct materials used	52
c. Direct labor	200
d. Factory overhead incurred	156
e. Factory overhead applied, 80% of direct labor cost	?
f. Cost of goods completed and transferred to finished goods	417
g. Cost of goods sold	532
h. Sales on account	742

1) Prepare summary journal entries for 2012 transactions. Omit explanations.

2) Show the T-accounts for all inventories, Cost of Goods Sold, and Factory Department Overhead Control. Compute the ending balances of the inventories. Do not adjust for underapplied or overapplied factory overhead.