Problem 19-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3

[The following information applies to the questions displayed below.] Widmer Watercrafts predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the companys production activities during May 2017 follows.

Purchased raw materials on credit, $220,000.

Materials requisitions record use of the following materials for the month.

Job 136	$50,000
Job 137	33,500
Job 138	19,400
Job 139	22,800
Job 140	6,600
Total direct materials	132,300
Indirect materials	20,500
Total materials used	$152,800

Paid $15,500 cash to a computer consultant to reprogram factory equipment.

Time tickets record use of the following labor for the month. These wages were paid in cash.

Job 136	$12,200
Job 137	10,500
Job 138	37,700
Job 139	39,200
Job 140	3,400
Total direct labor	103,000
Indirect labor	25,500
Total	$128,500

Applied overhead to Jobs 136, 138, and 139.

Transferred Jobs 136, 138, and 139 to Finished Goods.

Sold Jobs 136 and 138 on credit at a total price of $525,000.

The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance).

Depreciation of factory building	$69,500
Depreciation of factory equipment	37,000
Expired factory insurance	11,000
Accrued property taxes payable	35,000

Applied overhead at month-end to the Work in Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost.

rev: 02_01_2017_QC_CS-77139

Problem 19-3A Part 1

Required: 1. Prepare a job cost sheet for each job worked on during the month.

Problem 19-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3

[The following information applies to the questions displayed below.] Widmer Watercrafts predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the companys production activities during May 2017 follows.

Purchased raw materials on credit, $220,000.

Materials requisitions record use of the following materials for the month.

Job 136	$50,000
Job 137	33,500
Job 138	19,400
Job 139	22,800
Job 140	6,600
Total direct materials	132,300
Indirect materials	20,500
Total materials used	$152,800

Paid $15,500 cash to a computer consultant to reprogram factory equipment.

Time tickets record use of the following labor for the month. These wages were paid in cash.

Job 136	$12,200
Job 137	10,500
Job 138	37,700
Job 139	39,200
Job 140	3,400
Total direct labor	103,000
Indirect labor	25,500
Total	$128,500

Applied overhead to Jobs 136, 138, and 139.

Transferred Jobs 136, 138, and 139 to Finished Goods.

Sold Jobs 136 and 138 on credit at a total price of $525,000.

The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance).

Depreciation of factory building	$69,500
Depreciation of factory equipment	37,000
Expired factory insurance	11,000
Accrued property taxes payable	35,000

Applied overhead at month-end to the Work in Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost.

rev: 02_01_2017_QC_CS-77139

Problem 19-3A Part 2

2. Prepare journal entries to record the events and transactions a through i.