Question

Larned Corporation recorded the following transactions for the just completed month.

a. $71.000 in raw materials were purchased on account.

b. $69,000 in raw materials were requisitioned for use in production. Of this amount, $58,000 was for direct materials and the remainder was for indirect materials.

c. Total labor wages of $112,000 were incurred. Of this amount, $102,200 was for direct labor and the remainder was for indirect labor.

d. Additional manufacturing overhead costs of $194.000 were incurred.

Required:

Record the above transactions in journal entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Answer 1

Answer: Transaction Credit Debit 71,000 71,000 58,000 11,000 Accounts Titles & Explanation Raw Material Inventory Accounts Payable Work in Process Manufacturing Overhead Raw Material Inventory Work in Progress Manufacturing Overhead Wages Payable Manufacturing Overhead Accounts Payable 69,000 102,200 9,800 112,000 194,000 194,000