Question

The following account appears in the ledger after only part of the postings have been completed for March Work in Progress Balance, March 1 182,000 Direct materials 417,000 Direct labor 210,000 Factory overhead is applied to jobs at the rate of 40% of direct labor cost. The actual factory overhead incurred for March was $79,500. Jobs completed during the month totaled $692,000. Journalize all events depicted as of Mach 31th.

Answer 1

General Journal	Debit	Credit
Work in process inventory	$417,000
Raw material inventory		$417,000
Work in process inventory	$210,000
Wages payable		$210,000
Work in process inventory	$84,000
Factory overhead (210,000*40%)		$84,000
Factory overhead	$79,500
Cash		$79,500
Finished goods inventory	$692,000
Work in process inventory		$692,000