Question

Need only 4 this Schedule of Unfinished Jobs

Instructions Kurtz Fencing Inc. uses a job order cont system. The following data summarize the operations related to production for March, the first month of operations a Materials purchased on account. $45,000. b. Materials requisitioned and factory labor used: Job Materials Factory Labor 301 $ 1,850 $2.500 3.150 2,200 5250 304 305 306 For general factory use 4.230 1.770 1.200 2.400 8.225 2.000 5.000 c. Factory overhead costs incurred on account. $1.800 a. Depreciation of machinery and equipment. $2.500 e. The factory overhead rate is $30 per machine hour. Machine hours used

Answer 1

Ans.

1.

a)

Date	Description	Debit	Credit
	Materials	$ 45,000.00
	Accounts Payable		$ 45,000.00

b)

Date	Description	Debit	Credit
31-Mar	Work in Process	$15,000.00
	Factory overhead	$1,200.00
	Materials		$16,200.00

Total direct materials = 1,850 + 3,150 + 2,200 + 1,800 + 4,230 + 1,770 = $15,000

Date	Description	Debit	Credit
31-Mar	Work in Process	$26,595.00
	Factory overhead	$ 5,000.00
	Wages Payable		$31,595.00

Total direct labor = 2,500 + 7,220 + 5,350 + 2,400 + 6,225 + 2,900 = $26,595

c)

Date	Description	Debit	Credit
31-Mar	Factory overhead	$      1,800.00
	Accounts Payable		$      1,800.00

d)

Date	Description	Debit	Credit
31-Mar	Factory overhead	$      2,500.00
	Accumulated Depreciation-machinery and equipment		$      2,500.00

e)

Date	Description	Debit	Credit
31-Mar	Work in Process	$ 9,000.00
	Factory overhead		$ 9,000.00

Total applied overhead = 300 x 30 = $9,000

f)

Date	Description	Debit	Credit
31-Mar	Fnished Goods	$38,755.00
	Work in Process		$38,755.00

Note: Total costs of jobs completed

	Direct Materials	Direct Labor	Manufacturing Overhead	Total
Job 301	$       1,850.00	$ 2,500.00	$         900.00	$ 5,250.00
Job 302	$       3,150.00	$ 7,220.00	$      1,800.00	$12,170.00
Job 303	$       2,200.00	$ 5,350.00	$      1,230.00	$ 8,780.00
Job 305	$       4,230.00	$ 6,225.00	$      2,100.00	$12,555.00
Total				$38,755.00

g)

Date	Description	Debit	Credit
31-Mar	Accounts Receivable	$38,050.00
	Sales Revenue		$    38,050.00

Total revenue = 8,500 + 16,150 + 13,400 = 38,050

Date	Description	Debit	Credit
31-Mar	Cost of Goods Sold	$26,200.00
	Finished Goods		$    26,200.00

Total cost = 5,250 + 12,170 + 8,780 = 26,200

2.

Work in Process

b. Materials	$           15,000.00		f. Finished Goods	$38,755.00
b. Wages Payable	$           26,595.00
e. Factory Overhead	$             9,000.00
Balance	$           11,840.00

Finished Goods

f. Work in Process	$    38,755.00		g. Cost of Goods Sold	$26,200.00
Balance	$    12,555.00

3.

Jobs remaining in Work in Process are Job 304 and Job 306

Job	Direct Materials	Direct Labor	Manufacturing Overhead	Total
Job 304	$         1,800.00	$     2,400.00	$        1,890.00	$ 6,090.00
Job 306	$         1,770.00	$     2,900.00	$        1,080.00	$ 5,750.00
Total				$11,840.00

4.

Job remaining in Finished Goods is Job 305

Job	Direct Materials	Direct Labor	Manufacturing Overhead	Total
Job 305	$         4,230.00	$     6,225.00	$        2,100.00	$12,555.00