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Major League Bat Company manufactures baseball bats. In addition to its work in process inventories, the company maintains inventories of raw materials and finished goods. It uses raw materials as direct materials in production and as Indirect materials. Its factory payroll costs include direct labor for production and indirect labor. All materials are added at the beginning of the process, and conversion costs are applied uniformly throughout the production process. Required: You are to maintain records and produce measures of inventories to reflect the July events of this company. The June 30 balances: Raw Materials Inventory, $33,000; Work in Process Inventory. $9,735 ($3,360 of direct materials and $6,375 of conversion): Finished Goods Inventory, $140,000; Sales, $o; Cost of Goods Sold, $0; Factory Wages Payable, $0; and Factory Overhead, $0. 1. Prepare journal entries to record the following July transactions and events. a. Purchased raw materials for $185,000 cash (the company uses a perpetual inventory system). b. Used raw materials as follows: direct materials, $56,640; and Indirect materials, $17,000. c. Recorded factory wages payable costs as follows: direct labor, $219,750; and indirect labor, $32,000. d. Pald factory payroll cost of $251,750 with cash (ignore taxes). e. Incurred additional factory overhead costs of $94,000 paid in cash. f. Applied factory overhead to production at 50% of direct labor costs. 2. Information about the July inventories follows. Use this information with that from part 1 to prepare a process cost summary assuming the weighted average method is used. (Round "Cost per EUP" to 2 decimal places.) 10,000 units 14,000 units 8,000 units Units Beginning inventory Started Ending inventory Beginning inventory Materials-Percent complete Conversion-Percent complete Ending inventory Materials-Percent complete Conversion-Percent complete 1000 754 1000 408 3. Using the results from part 2 and the available information, make computations and prepare journal entries to record the following: g. Total costs transferred to finished goods for July h. Sale of finished goods costing $300,700 for $695,000 in cash. 4. Post entries from parts 1 and 3 to the following general ledger accounts. 5. Compute the amount of gross profit from the sales in July (Hint Add any underapplied overhead to, or deduct any overapplied overhead from, the cost of goods sold) Total costs transferred to finished goods for July Sale of finished goods costing $300,700 for $695,000 in cash. - Post entries from parts 1 and 3 to the following general ledger accounts. -Compute the amount of gross profit from the sales in July. (Hint Add any underapplied overhead to, or deduct any overapplie verhead from the cost of goods sold.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Prepare journal entries to record the following July transactions and events. a. Purchased raw materials for $185,000 cash (the company uses a perpetual inventory system). b. Used raw materials as follows: direct materials, $56,640, and indirect materials, $17,000. c. Recorded factory wages payable costs as follows: direct labor, $219,750; and indirect labor, $32,000. d. Pald factory payroll cost of $251,750 with cash (ignore taxes). e. Incurred additional factory overhead costs of $94,000 paid in cash. f. Applied factory overhead to production at 50% of direct labor costs. Show less View transaction list View journal entry worksheet Debit Credit 185,000 Record the purchase of raw materials for cash. 185,000 1 Record the use of raw materials. Vay 56,640 3 Record direct and indirect labor costs incurred. 17,000 / 73,640 4 Record factory payroll paid in cash. 5 Record other overhead paid in cash. Required 2 > 6 Record overhead applied at 50% of direct labor. Note: - Journal entry has been entered Information about the July inventories follows. Use this information with that from part 1 to prepare a process costs the weighted average method is used. (Round "Cost per EUP" to 2 decimal places.) Total costs to account for: Total costs to account for: $ 0 $ 0 Unit reconciliation: Units to account for: Total units to account for Total units accounted for: Total units accounted for Equivalent units of production (EUP)- weighted average method Units % Materials EUP Materials % Labor EUP- Conversion Total units Cost per equivalent unit of production Materials Conversion Costs EUP Costs EUP 0 Cost per EUP Total cost Total costs - Equivalent units of production Cost per equivalent unit of production (rounded to 2 decimals) Total costs accounted for: Cost of units transferred out EUP Direct materials Conversion Total costs transferred out Costs of ending goods in process EUP Direct materials Conversion Total cost of ending goods in process Total costs accounted for Cost per EUP Total cost $ 0.00 $ $ 0.00 0 0 Show less View transaction list X 1 Record the transfer of goods to Finished Goods Inventory 2 Record sale of finished goods for cash. 3 Record the cost of goods sold. Credit Note : - Journal entry has been entered Record entry Clear entry View general Journal Required 1 Required 2 Required 3 Required 4 Required 5 Post entries from parts 1 and 3 to the following general ledger accounts. Raw Materials Inventory Transactions Debit Credit June 30 Acct. No. 132 Balance 33,000 Work in Process Inventory Transactions Debit Credit June 30 Acct. No. 133 Balance 9,735 Finished Goods Inventory Transactions Debit Credit June 30 Acct. No. 135 Balance 140,000 Factory Wages Payable Transactions Debit Credit Acct. No. 212 Balance Sales Transactions Debit Acct. No. 413 Balance Cost of Goods Sold Transactions Debit Credit Acct. No. 502 Balance Credit Factory Overhead Transactions Debit Acct. No. 540 Balance Credit (Required 3 Required 5 3. Using the results from part 2 and the available information, make computations and prepare journal entries to record the following g. Total costs transferred to finished goods for July. h. Sale of finished goods costing $300,700 for $695,000 in cash. 4. Post entries from parts 1 and 3 to the following general ledger accounts. 5. Compute the amount of gross profit from the sales in July. (Hint Add any underapplied overhead to, or deduct any overapplied overhead from the cost of goods sold.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Compute the amount of gross profit from the sales in July (Hint: Add any underapplied overhead to, or deduct any overapplied overhead from the cost of goods sold.) Gross profit