Comparing (materials cost, quantities on hand) as reported

before (a lack of materials, an excess of materials) causes idle time

An incomplete subsidiary ledger of materials inventory for May is as follows: RECEIVED ISSUED BALANCE Receiving Report Number Unit Price Materials Requisition Number Quantity Quantity Amount Date Unit Price $29.00 Quantity 288 Amount May 1 $8,352 40 120 $31.70 91 367 May 4 May 10 May 21 May 27 44 101 38.80 97 109 A. Complete the materials issuances and balances for the materials subsidiary ledger under FIFO. Round your unit price answers to two decimal places and final answers to the nearest dollar RECEIVED ISSUED BALANCE Materials Receiving Report Number Unit Requisition Number Quantity Price Quantity Amount Date Unit Price Quantity 288 Amount $8,352 May 1 $29.00 40 120 $31.70 May 4 $ $ 91 367 $ May 10 $ 44 101 38.80 May 21 $ $ 97 109 May 27 $ B. Determine the materials inventory balance at the end of May. Round your answer to the nearest dollar. C. Journalize the summary entry on May 31 to transfer materials to work in process. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to the nearest dollar. PAGE 10 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY 1 2 D. Explain how the materials ledger might be used as an aid in maintaining inventory quantities on hand. Comparing as reported in the materials ledger with predetermined order points enables management to order materials before causes idle time