Question

Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories Beginning Ending Inventory Inventory Raw materials inventory $ 120,000 $185.000 Work in process inventory-Weaving 300,000 330,000 Work in process inventory-Sewing 570 000 700.000 Finished goods inventory 1,286,000 1,206,000 The following additional information describes the company's manufacturing activities for June $ 500.000 3,060,000 156.000 $ 240,000 75,000 120,000 Raw materials purchases (on credit) Factory payroll cost paid in cash) Other factory overhead cost (Other Accounts credited) Materials used Direct--Weaving Direct-Sowing Indirect Labor used Direct-Weaving DirectSewing Indirect Overhead rates as a percent of direct labor Weaving Sewing Sales con credit) $1 200 000 360.000 1.500 000 80% 150% $4,000,000 1. Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold (a) Sewing (b) Finished Goods (c) Cost of goods sold 2. Prepare journal entries dated June 30 to record(a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods and sale of finished goods View transaction list Journal entry worksheet 2 < 1 3 > Record the goods transferred from weaving to sewing Note: Enter debes before credits Date General Journal Debat Credit June 30 Resende Clearly View general journal

Answer 1

& WEAVING = Sewing m L 240,000 12,00,000 OH (12,00.000w 80% 960,000 2,400,000 11 SELLING FG m 75,000 360,000 L 540,000 DH 360.000 x 150%) 975,000 lll FG - COGS 3,375,000 + 341,000 Totalcoft Distrit 500,000 t Finished 30,60,000 + 156,000 3,7161000 Total 3,716,000 cogs

Viime 30 Wearing AIC DO! material Ale To labour AC To Overthend ATC 24,00,000 240,000 12,00,000 960,000 Timel Alo Do ul la Scroing on wearing mer Bo 14,00,000 To 12,400.000 June 30 Wiating 975,000 AIC Dr To Matorial AIC To labour Alc To Ovoittond AIC 75,000 3601000 540,000 Jung finished Goods Alc DN Alo 33,75.000 133,75.000 To Wearing Alo 341000 Juno 30 341000 Finished Goods All Dr To Selling Dictvíbretion Selling ExpAlc C COGS AIC DV to finished Goods Arc 37,16,000 June 30 3716,000