Question

Chapter 3 Foundational 15 A Saved 6 [The following information applies to the questions displayed below.] Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Part 6 of 15 Raw materials Work in process Finished goods $ 40, eee $ 18,eee $ 35,800 1 points X 02:45:18 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $16.25 per direct labor-hour was based on a cost formula that estimated $650.000 of total manufacturing overhead for an estimated activity level of 40.000 direct labor-hours. The following transactions were recorded for the year: eBook Print a. Raw materials were purchased on account, $510.000. b. Raw materials used in production, $480.000. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor. $600,000; indirect labor, $150,000: selling and administrative salaries, $240.000. d. Incurred various selling and administrative expenses (e.g.. advertising, sales travel costs, and finished goods warehousing). $367.000. e. Incurred various manufacturing overhead costs (e.g.. depreciation, insurance, and utilities). $500.000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. 9. Jobs costing $1.680,000 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $2,800,000. The jobs cost $1.690,000 to manufacture according to their job cost sheets. 6. What is the journal entry to record the transfer of completed jobs that is referred to in item g above? (If no entry is required for a transaction/event, select "No journal entry required" In the first account field.) View transaction list Journal entry worksheet 1 > Record the manufactured goods completed during this year. Note: Enter debits before credits Transaction General Journal Debit Credit 1 Finished goods Work in process Me

Answer 1

6
Transaction	General Journal	Debit	Credit
1	Finished goods	1680000
	Work in Process		1680000
	(To record transfer of completed jobs)