Question

Current Attempt in Progress Crawford Corporation incurred the following transactions. 1. Purchased raw materials on account $52,800. 2. Raw Materials of $45,500 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $9,600 was classified as indirect materials. 3. Factory labor costs incurred were $68,000, of which $51,500 pertained to factory wages payable and $16,500 pertained to employer payroll taxes payable. 4. Time tickets indicated that $55,100 was direct labor and $12.900 was indirect labor. 5. Manufacturing overhead costs incurred on account were $84,700. 6. Depreciation on the company's office building was $8,600. 7. Manufacturing overhead was applied at the rate of 150% of direct labor cost. 8. Goods costing $95,500 were completed and transferred to finished goods. 9. Finished goods costing $81,400 to manufacture were sold on account for $105,600. Journalize the transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Answer 1

Journal entries

No	Accounts titles and explination	Debit	Credit
1.	Raw materials Inventory	$52,800
	Accounts payable		$52,800
2.	Work in process	$35,900
	Manufacturing overhead	$9,600
	Raw materials		$45,500
3.	Factory payroll	$68,000
	Wages payable		$51,500
	Payroll taxes payable		$16,500
4.	Work in process	$55,100
	Manufacturing overhead	$12,900
	Factory payroll		$68,000
5.	Manufacturing overhead	$84,700
	Accounts payable		$84,700
6.	Depreciation expense	$8,600
	Accumulated depreciation- Building		$8,600
7.	Work in process ($55,100×150%)	$82,650
	Manufacturing overhead applied		$82,650
8.	Finished goods	$95,500
	Work in process		$95,500
9.	Accounts receivable	$105,600
	Sales		$105,600
	(To record sales)
	Cost of goods sold	$81,400
	Finished goods		$81,400
	(To record cost of goods sold)