Question

Tybee Industries Inc, uses a job order cost system. The following data summarize the operations related to production for January, the first month of operations a. Materials purchased on account, $29,800 b. Materials requisitioned and factory labor used: Job Materials Factory Labor 301 $ 2,960 $2,775 302 3,620 3,750 303 2,400 304 8,100 1,875 6,860 5,250 305 5,100 306 3.750 3,340 For general factory use 1,080 4,100 c. Factory overhead costs incurred on account, $5,500 d. Depreciation of machinery and equipment, $1.980. e. The factory overhead rate is $54 per machine hour. Machine hours used

Answer 1

6 Credit Credit Assets Liabilities Equity Debit 29,800 Account title & Explanation Material Accounts payable 7 a) 8 9 X 29,800 х X 10 b) 11 44,600 5,180 X Work in process Factory Overhead Material Wages Payable 12 х 25,930 23,850 13 х 14 5500 X 15 C) 16 Factory Overhead Accounts payable 5500 х 17 X Factory overhead 1980 Accumulated depreciation - machinery and equipment 1980 X 12312 X 18 d) 19 20 21 e) 22 23 24 f) 25 Work in process (228*54) Factory overhead 12312 X 34804 X Finsihed goods Work in process 34804 X 26

48 Finished goods 34804 34804 f) f) 22294 g) 49 50 51 2 b) e) Bal. Work in process 49,780 12312 27,288 Bal. 12510 52 53 54 55 Total 56 57 58 3 Tybee Industries Inc. Schedule of unfinished jobs Job No 304 No 306 Balance of Work in process, January 30 Direct materials Direct labor 8100 6860 3750 3340 Factory overhead 3888 18848 1350 8440 27288 59 60 61 62 63 64 65 4 Tybee Industries Inc. Schedule of completed jobs Direct materials Direct labor 5250 Factory overhead Total Finished goods (Job 305) 5100 2160 12510 66