Question

Chapter 3 6 Saved 2 Jurvin Enterprises is a manufacturing company that had no beginning Inventories. A subset of the transactions that it recorded during recent month Is shown below. 10 points a. $76,500 In raw materials were purchased for cash. b. $71,800 In raw materlals were used In production. Of this amount, $65,000 was for direct materials and the remalnder was for Indlrect materials. C. Total labor wages of $152,400 were incurred and paid. Of this amount, $133,300 was for direct labor and the remainder was for Sklpped Indirect labor d. Additional manufacturing overhead costs of $125,500 were Incurred and pald. e. Manufacturing overhead of $127,400 was applied to production using the company's predetermined overhead rate f. All of the Jobs In process at the end of the month were completed eBook Referencesg All of the completed jobs were shipped to customers h. Any underapplied or overapplied overhead for the perlod was closed to Cost of Goods Sold. Required 1. Post the above transactions to T-accounts. 2. Determine the adjusted cost of goods sold for the period. Complete this question by entering your answers in the tabs below Required Required 2

Answer 1

1. Post transactions in T- accounts as follos :
Cash Account :					Finished goods :
Particulars	Amount	Particulars	Amount		Particulars	Amount	Particulars	Amount
Balance c/d	$ 354,400.00	Raw material	$ 76,500.00		Work in process	$ 325,700.00	Cost of goods sold	$ 325,700.00
		Direct labour	$ 152,400.00
		Manfacturing overhead	$ 125,500.00			$ 325,700.00		$ 325,700.00
	$ 354,400.00		$ 354,400.00		Manfactuing overhead :
					Particulars	Amount	Particulars	Amount
Raw materials :					Raw material	$    6,800.00	Work in process	$ 127,400.00
Particulars	Amount	Particulars	Amount		Direct labour	$ 19,100.00	Cost of goods sold	$ 24,000.00
Cash	$ 76,500.00	Work in process	$ 65,000.00		(152400-133300)
		Manfacturing overhead	$    6,800.00		cash	$ 125,500.00
		(71800-65000)
		Balance c/d	$    4,700.00			$ 151,400.00		$ 151,400.00
	$ 76,500.00		$ 76,500.00		Cost of goods sold :
					Particulars	Amount	Particulars	Amount
Work in process :					Finished goods	$ 325,700.00
Particulars	Amount	Particulars	Amount		Manfacturing overhead	$ 24,000.00
Raw material	$ 65,000.00	Finished goods	$ 325,700.00
Direct labour	$ 133,300.00				Ending balance	$ 349,700.00
Manfacturing overhead	$ 127,400.00
	$ 325,700.00		$ 325,700.00		2) Cost of goods sold for the period is $349,700