Question

I need help with my assignment please

Problem 2-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3 The following information applies to the questions displayed below) Widmer Watercraft's predetermined overhead rate for year 2015 is 200% of direct labor Information on the company's production activities during May 2015 follows a Purchased raw materials on credit, $260,000 b. Materials requisitions record use of the following materials for the month Job 136 Job 137 Job 138 Job 139 Job 140 $48.500 33,500 19.400 23 200 6.800 Total direct materials Indirect materials 131,400 20,500 Total materials used $ 151900 c. Pald $15.750 cash to a computer consultant to reprogram factory equipment d. Time tickets record use of the following labor for the month These wages were paid in cash $ Job 136 Job 137 Job 138 JOD 139 Job 140 12.100 10.600 37900 39,400 13.000 Total detect labor Indirect labor 103.000 26 000 Total $129.000

Answer 1

Wider Watercraft predetermined OH rate for Year 2017 = 200% of Direct labour Hr
Purchase of Raw material in Credit $260000
Job wise material requisition
Prepare a Job cost sheet for each Job worked during the year
	Job136$	Job137$	Job138$	Job139$	Job140$
Material cost	48,500	33,500	19,400	23,200	6,800
Labour Cost-B	12,100	10,600	37,900	39,400	3,000
Overehead 200%of Labour cost(200% *B)	24,200	21,200	75,800	78,800	6,000
Total Cost	84,800	65,300	1,33,100	1,41,400	15,800

Now accounted couple of Journal Entries
Details		Debit ( $)	Credit($)
Purchase of material
Raw Material Inventory		2,60,000
Account Payable			2,60,000
Wages are paid in cash
Payroll Cost		1,29,000
Cash			1,29,000
Factory OH(Computer consultant)		15,750
Cash			15,750
Goods in Inventory		1,31,400		As per Question
Factory Overhead		20,500		As per Question
Raw Material Inventory			1,51,900	As per Question
Goods in Inventory		1,03,000		As per Question
Factory Overhead		26,000		As per Question
Payroll Cost			1,29,000	As per Question
Applied Overhead to Jobs 136,138 ,139
Need to claculate OH cost
	Job136$	Job138$	Job139$	Total Cost($)
Overehead 200%of Labour cost	24,200	75,800	78,800	1,78,800
( as above Number)
		Debit ( $)	Credit($)
Goods in Inventory		1,78,800
Factory OH			1,78,800
Trnsferred Job 136,138,139 to Finished goods
	Job136$	Job138$	Job139$	Total Cost($)
Total Cost	84,800	1,33,100	1,41,400	3,59,300
( as above Number)
		Debit ( $)	Credit($)
Finished goods Inventory		3,59,300
Goods in Inventory			3,59,300
Account Receivable		5,30,000
Sales			5,30,000
We sold only two Job 136 and 138
So Total cost as above
	Job136$	Job138$	Total Cost($)
Total Cost	84,800	1,33,100	2,17,900
( as above Number)
		Debit ( $)	Credit($)
Cost of goods sold		2,17,900
Finished goods Inventory			2,17,900
Factory Overhead		1,51,000
Accumulated Factory Building			69,000
Accumulated Factory Equipment			37,000
Expired Factory Insurance ( Pre paid)			10,000
Accrued Property tax			35,000
Goods - Inventory		27,200
Factory Overhead			27,200
	Job137$	Job140$	Total Cost($)
Total Overhead	21,200	6,000	27,200
( as above Number)

Raw Material Inventory
Details	Debit($)	Details	Credit($)
Account Payable	260000	Goods in Inventory	131400
		Factory Overhead	20500
		Closing Balance	108100
Total	260000	Total	260000
Work in process Inventory
Details	Debit($)	Details	Credit($)
Raw Material Inventory	131400	Finished goods Inventory	359300
Payroll Cost	103000	Closing Balance	81100
Factory OH	178800
Factory OH	27200
Total	440400	Total	440400
Factory OH
Details	Debit($)	Details	Credit($)
Raw Material Inventory	20500	Work In process	178800
Payroll Cost	26000	Work In process	27200
Accumulated Factory Building	69000
Accumulated Factory Equipment	37000
Expired Factory Insurance ( Pre paid)	10000
Accrued Property tax	35000
Closing Balance	8500
Total	206000	Total	206000
Finished goods Inventory
Details	Debit($)	Details	Credit($)
Work in process Inventory	359300	Cost of goods sold	217900
		Closing Balance	141400
Total	359300	Total	359300

Reports og Job cost
Work In process	Amnt($)
Job137	65300
Job140	15800
Total WIP	81100
Cost of goods sold
Job136	84800
Job138	133100
Total Cost of goods sold	217900
Finished goods Inventory
Job139	141400