Question

eBook Calculator (Appendix 4A) Journal Entries, T-Accounts Instructions Chart of Accounts Amount Descriptions Jouma I Job-Order Cost Sheets Instructions Lowder Inc, builds custom conveyor systems for warehouses and distribution centers. During the month of July, the following occurred: Jul 1 2 Purchased materials on account for $42,630. Requisitioned materials totaling $27,000 for use in production: $12.500 for Job 703 and the remainder for Job 704. 28 Recorded direct labor payroll for the month of $26,320 with an average wage of $14 per hour Job 703 required 780 direct labor hours:Job 704 required 1,100 direct labor hours. incurred and paid actual overhead of $19.950. Charged overhead to production at the rate of $10 per direct labor hour Completed Job 703 and transferred it to Finished Goods Kopt Job 704, which was started during July, in process at the end of the month Sold Job 700, which had been completed in May, on account for cost plus 30% 30 31 31 Beginning balances as of July 1 were: Raw Materials Work in Process (for Job 703) $6,070 10,000 Check My Work 4 more Check My Work usos remaining. Email Instructor Save and Exit Submit Ass 5 / 6 7

Answer 1

Date Credit 12630 27,000 Journal enteres. Particular bebit July 1 Raw material Inventory 42630 l Account Pere bote Cto record purchase of Materials] July 2 work-in-Progress 27,000 I Raw Material inventory / (to record Material used in production July 28 work-in-Progress ... | 26,320 1. factory lwages ... to record direct labor changed I to production] July 28 Factory Overhead Casb to record payment of Orechead] . July 23 Work-in - Bogless (C18041100) *10] 18,800 y factory Overhead - (to record the factory Overhead applied on production 7 26,320 19,950 19,950 118,800 Joborder Cost sheet for Jobzo Particolar Beginning Balance | Direct Material (given) Direct labour (780 labos krs. y $144) factory Overhead (780 labor hrs x $io) Total Amount 10,000 12,500 10,920 7800 4412201 41,220

Amount Job Order Cost sheet for Job 704 Particolari Beginning Balance Direct Material (27000 - 12500) Direct la bour (1100 labor hos * $ 14). Factory Overhead (1100 labor hos * $10) Total 144,500 15,400 11,000 40,900

Debit sedit 2 41,220 8112 842 6240 Journal Entries 1 Loate L Particular 1 July 30 | finished goods Inventory 41,22 Work-in-Progress T to record tansfee of Job 703 to I finished Goods July 31/No enley . CAs Job tote kept in process] July 31 Account Receivable is | Sales Revenu @[624O+18+2) [to record sale of Job 700 | 1 Julys! (Cost of goods sold 162.40 | Anished goods laventory ! Lo record cost of goods sold) os Raw Material Date I particolar Ancont Date I paulicolas Amount July 1 Beginning Belane 8070 July a work in Progress | 27000 July Accounts Payable 42,630 Ending Balance (21700 142,700 48,700 Work-in-Progress Toate Partiolar Amount Date I Particular July 1 Amount Beginning Balance 10000 July 3o Cinished goods 41,220 Inventory July 28 Factory wages 26,320 ending Balance / 10,900 July 28 factory Overhead 18,800 82,120 . Julys / Raw material, a Inventory 27000 82, 120

08 Is Finished Goods loventory Toate Particular Amount Date Particular I Amount Joly, Beginning Balance 6,240 July 31/Cost of goods sold | 6,240 July3o Work-in-Progress 4,220 Ending Balance/ 211,220 117,460 | 474160

Note : Journal entry July 31 Sales Revenue - Cost plos 30l. = 6310 + (6260 X300) =6240 + 1872 = 8012