Question

Eppich Corporation has provided the following data for the most recent month:

Raw materials, beginning balance	$	17,000
Work in process, beginning balance	$	31,400
Finished Goods, beginning balance	$	49,400

Transactions:

(1)	Raw materials purchases	$	79,800
(2)	Raw materials used in production (all direct materials)	$	77,200
(3)	Direct labor	$	51,400
(4)	Manufacturing overhead costs incurred	$	89,000
(5)	Manufacturing overhead applied	$	71,400
(6)	Cost of units completed and transferred from Work in Process to Finished Goods	$	190,000
(7)	Any overapplied or underapplied manufacturing overhead is closed to Cost of Goods Sold		?
(8)	Finished goods are sold	$	219,600

Required:

Complete the following T-accounts by recording the beginning balances and each of the transactions listed above.

When putting in the t accounts put the numbers 1-8 in the T accounts as well not just the names.

Answer 1

Answer
Raw Materials
Beg. Bal.	$     17,000
1)	$     79,800	$     77,200	2)
End. Bal.	$     19,600

Work in Process
Beg. Bal.	$     31,400
2)	$     77,200	$         190,000	6)
3)	$     51,400
5)	$     71,400
End. Bal.	$     41,400

Finished Goods
Beg. Bal.	$        49,400
6)	$      190,000	$      219,600	8)
End. Bal.	$        19,800

Manufacturing Overhead
Beg. Bal.	$             -
4)	$     89,000	$           71,400	5)
		$           17,600	7)
		(89,000-71,400)
End. Bal.	$             -

Cost of goods sold
Beg. Bal.	$               -
8)	$      219,600
7)	$        17,600
End. Bal.	$      237,200