Question

Question 12 of 13 < > -11 View Policies Current Attempt in Progress Fire Out Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October 1, 2020, inventories consisted of Raw Materials $27,300, Work in Process-Mixing $0, Work in Process- Packaging $253,000, and Finished Goods $295,000. The beginning inventory for Packaging consisted of 14,900 units that were 50% complete as to conversion costs and fully complete as to materials. During October, 52,200 units were started into production in the Mixing Department and the following transactions were completed. 1 2. 3. 4. 5. Purchased $301,000 of raw materials on account Issued raw materials for production: Mixing $213,200 and Packaging $47,300. Incurred labor costs of $286,700. Used factory labor: Mixing $187,300 and Packaging $99,400. Incurred $1,033,500 of manufacturing overhead on account. Applied manufacturing overhead on the basis of $25 per machine hour. Machine hours were 30,800 in Mixing and 9,000 in Packaging Transferred 46,200 units from Mixing to Packaging at a cost of $982,000. Transferred 57,800 units from Packaging to Finished Goods at a cost of $1,316,000. Sold goods costing $1.645,000 for $2,502,000 on account. 6 7 8 9 Journalize the October transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually Debit No. Account Titles and Explanation 1. Credit

Answer 1

	NO.	Accounts Title	Dr	Cr
	1	Raw Material	$       301,000
		Accounts Payable		$         301,000
		(Being Raw material purchased on account)
	2	Work in Process -Mixing	$       213,200
		Work in Process -Packaging	$         47,300
		Raw material		$         260,500
		(Raw material issued)
	3	Factory Labor	$       286,700
		Wages Payable		$         286,700
		(being labor cost incurred)
	4	Work in Process -Mixing	$       187,300
		Work in Process -Packaging	$         99,400
		Factory Labor		$         286,700
		(being factor labor charged)
	5	Manufacturing Overhead	$   1,033,500
		Accounts Payable		$      1,033,500
		(being manufcaturing overhead incurred)
	6	Work in Process -Mixing (30800*25)	$       770,000
		Work in Process -Packaging (9000*25)	$       225,000
		Factory Overhead		$         995,000
		(Being manufacturing overhead applied)
	7	Work in Process -Packaging	$       982,000
		Work in Process -Mixing		$         982,000
		(being transferred from mixing dept)
	8	Finished Goods	$   1,316,000
		Work in Process -Packaging		$      1,316,000
		(transferred to finished goods)
	9	Accounts Receivable	$   2,502,000
		sales		$      2,502,000
		(sales on account recorded)
		Cost of Good sold	$   1,645,000
		Finished Goods		$      1,645,000