The following transactions portains to Bahrain Company for 2021: a) Materials purchased on account, $62,500. b)...

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The following transactions portains to Bahrain Company for 2021: a) Materials purchased on account, $62,500. b) Materials used in production as follows: direct materials, $33,600; indirect materials, $5,400. c) Manufacturing labor incurred $35,000. (90% for direct labor and 10% for indirect labor.) d) Other various manufacturing overhead costs incurred during the year is $18,900. e) Manufacturing overhead is allocated at a budgeted overhead rate 120% of direct labor cost. f) the actual manufacturing overhead cost incurred at the end of the year was $27,800. The company decided to prorate the under-or-overallocated overhead using ending unadjusted balances of WIP, F.G and COGS before proration method Ending unadjusted balances before proration were as follows: $ 40,000 Work-in-Process (WIP) Finished Goods (FG) Cost of Goods Sold (GOGS) 80,000 680,000 Required: Prepare the necessary journal entries to record the above transactions from a to f Answer: The following transactions portains to Bahrain Company for 2021: a) Materials purchased on account, $62,500. b) Materials used in production as follows: direct materials, $33,600; indirect materials, $5,400. c) Manufacturing labor incurred $35,000. (90% for direct labor and 10% for indirect labor.) d) Other various manufacturing overhead costs incurred during the year is $18,900. e) Manufacturing overhead is allocated at a budgeted overhead rate 120% of direct labor cost. f) the actual manufacturing overhead cost incurred at the end of the year was $27,800. The company decided to prorate the under-or-overallocated overhead using ending unadjusted balances of WIP, F.G and COGS before proration method Ending unadjusted balances before proration were as follows: $ 40,000 Work-in-Process (WIP) Finished Goods (FG) Cost of Goods Sold (GOGS) 80,000 680,000 Required: Prepare the necessary journal entries to record the above transactions from a to f Answer:

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Journal Entries No General Journal a Raw Materials Accounts Payables b Work in Proc... View the full answer