JYD Company reported the following inventory balances as of October 31, 2019: Raw Materials P 80,000...

Transcribed Image Text:

JYD Company reported the following inventory balances as of October 31, 2019: Raw Materials P 80,000 Work in Process 110,000 190,000 Finished Goods The following transactions occurred during the month of November 2016: 1. Purchased P25,000 of raw materials on account. 2. Issued P18,000 of raw materials to production of which P15,000 were direct to the product. 3. Factory payroll of P34,000 was accrued and distributed as follows: P30,000 for direct labor and P4,000 for supervisors (ignore payroll taxes and deductions). 4. Factory utility costs of P8,000 were accrued. 5. Prepaid insurance of P1,000 on factory equipment expired in November. 6. Straight-line depreciation on factory equipment for the month was P10,000 7. Selling and administrative expenses were P40,000 (P30,000 was paid in cash and P10,000 was accrued. 8. Factory Overhead was transferred to work in process inventory. 9. Goods manufactured were transferred to to finished goods inventory. Ending inventories were: work in process, P60,000 and finished goods, P175,000. 10. Sales of P217,000 was made on account. Required: a. Journal entries to record the above transactions. b.Statement of cost of goods manufactured. c. Income Statement JYD Company reported the following inventory balances as of October 31, 2019: Raw Materials P 80,000 Work in Process 110,000 190,000 Finished Goods The following transactions occurred during the month of November 2016: 1. Purchased P25,000 of raw materials on account. 2. Issued P18,000 of raw materials to production of which P15,000 were direct to the product. 3. Factory payroll of P34,000 was accrued and distributed as follows: P30,000 for direct labor and P4,000 for supervisors (ignore payroll taxes and deductions). 4. Factory utility costs of P8,000 were accrued. 5. Prepaid insurance of P1,000 on factory equipment expired in November. 6. Straight-line depreciation on factory equipment for the month was P10,000 7. Selling and administrative expenses were P40,000 (P30,000 was paid in cash and P10,000 was accrued. 8. Factory Overhead was transferred to work in process inventory. 9. Goods manufactured were transferred to to finished goods inventory. Ending inventories were: work in process, P60,000 and finished goods, P175,000. 10. Sales of P217,000 was made on account. Required: a. Journal entries to record the above transactions. b.Statement of cost of goods manufactured. c. Income Statement

Answer rating: 100% (QA)

a Journal entries to record the above transactions 1 Purchased P25000 of raw materials on account Raw Materials Inventory 25000 Accounts Payable 25000 ... View the full answer