Question

Data Table - X The Macy Corportion manufactures custom cabinets for kitchens. Its a normal.costing system with two direct cost categories direct materials and direct manufacturing labor and one direct contpool manufacturing overhead cos it provides the following information for Apr 2020 Click the icon to view the information for 2020) Road $ Budgeted manufacturing overhead costs Budgeted direct manufacturing labor hours 068,000 31,000 hours Print Done Present the journal entry for (a) usage of direct and indirect materials (Record debits first, then cred Explanation Journal Entry Accounts Debit Credit (a) Present the journal entry for maduring labor incurred Journal Entry Actual direct materials used $ 75.000 Actual direct manufacturing labor costs paid in cash 5 55,000 Indirect materials used S 2,000 Supervision and engineering salaries paid in cash $ 48.000 Plant utilities and repairs paid in cash $ 8.000 Plan depreciation $ 19 000 Actual direct manufacturing labor hours 2.800 Cost of individual jobs completed and transferred to finished goods S 170,000 Cost of goods sold $ 145,000 Choose from any Ist or enter any number in the input fields and then continue to the next question

Answer 1

Journal entry
Event	Account titles	Debit	Credit
a	Work in progress inventory	75,000
	Manufacture overhead	2,000
	Raw material inventory		77,000
	(To record Issue of raw material inventory.)
Event	Account titles	Debit	Credit
b	Work in progress inventory	55,000
	Manufacture overhead	48,000
	Cash		103,000
	(To record manufacturing labor cost incurred.)
Event	Account titles	Debit	Credit
c	Manufacture overhead	27,000
	Cash		8,000
	Accumulated depreciation -equipment		19,000
	(To record manufacturing cost incurred.)
Event	Account titles	Debit	Credit
d	Work in progress inventory	78,400
	Manufacture overhead		78,400
	(To record allocation of manufacturing costs.)
Event	Account titles	Debit	Credit
e	Finished goods inventory	170,000
	Work in progress inventory		170,000
	(To record completion of Finished goods inventory.)
Event	Account titles	Debit	Credit
f	Cost of goods sold	145,000
	Finished goods inventory		145,000
	(To record Finished goods Inventory sold.)
Event	Account titles	Debit	Credit
g	Manufacture overhead	1,400
	Cost of goods sold		1,400
	(To record over applied of manufacture overhead.)

Budgeted Manufacture overhead		$     868,000
Divided by: Budgeted labor hours		31,000
Predetermined overhead rate		$          28.00
Predetermined overhead rate		$          28.00
Multiply: actual direct labour hours		2,800
Manufacturing costs applied		$        78,400

Indirect material		2,000
Indirect labor		48,000
Plant utilities		8,000
Plant depreciation		19,000
Actual manufacture overhead		77,000
Less: Manufacture overhead Applied		78,400
Under (Over) applied of overhead		(1,400)
Over applied of overhead		1,400