Answer | ||||
Journal entry | ||||
Account Titles and Explanations | Debit | Credit | ||
1 | a. | Raw materials inventory | $ 2,10,000 | |
Accounts payable | $ 2,10,000 | |||
(To record purchase of raw materials) | ||||
2 | b. | Work in process | $ 1,52,800 | |
Manufacturing overhead | $ 38,200 | |||
Raw materials inventory | $ 1,91,000 | |||
(To record raw materials used in production) | ||||
3 | c. | Work in process | $ 49,000 | |
Manufacturing overhead | $ 20,000 | |||
Salaries and wages payable | $ 69,000 | |||
(To record direct and indirect labor costs) | ||||
4 | d. | Manufacturing overhead | $ 1,05,000 | |
Accumulated depreciation - Factory equipment | $ 1,05,000 | |||
(To record depreciation on factory equipment) | ||||
5 | e. | Manufacturing overhead | $ 1,31,000 | |
Accounts payable | $ 1,31,000 | |||
(To record other manufacturing overhead costs incurred) | ||||
6 | f. | Work in process | $ 5,34,100 | |
Manufacturing overhead ( $7 × 76,300) | $ 5,34,100 | |||
(To record manufacturing overhead applied during production) | ||||
7 | g. | Finished goods | $ 5,13,000 | |
Work in process | $ 5,13,000 | |||
(To record jobs completed) | ||||
8 | h (i) | Cost of goods sold | $ 4,50,000 | |
Finished goods | $ 4,50,000 | |||
( To record cost of goods sold) | ||||
9 | h (ii) | Accounts receivable | $ 6,03,000 | |
Sales ($450,000 × 134%) | $ 6,03,000 | |||
(To record sales of completed job) |
Particulars | Manufacturing | Overhead | Particulars | Work in | Process | |||
Raw materials inventory | $ 38,200 | work in process | $ 5,34,100 | Beg. Balance | $ 36,000 | |||
Salaries and wages payable | $ 20,000 | Raw materials inventory | $ 1,52,800 | Finished goods | $ 5,13,000 | |||
Accumulated depreciation - Factory equipment | $ 1,05,000 | Salaries and wages payable | $ 49,000 | |||||
Accounts payable | $ 1,31,000 | Manufacturing overhead | $ 5,34,100 | |||||
End. Bal. | $ 2,39,900 | End. Bal. |
$2,58,900 |
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account, $209,000. b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 indirect materials). c. Accrued direct labor cost of $49,000 and indirect labor cost of $20,000. d. Depreciation recorded on factory equipment, $106,000. e. Other manufacturing overhead costs accrued during October, $129,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $8 per...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account, $209,000. b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 indirect materials). C. Accrued direct labor cost of $48,000 and indirect labor cost of $20,000. d. Depreciation recorded on factory equipment, $105,000. e. Other manufacturing overhead costs accrued during October, $130,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $6 per...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account. $211.000. b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 indirect materials). C. Accrued direct labor cost of $48,000 and indirect labor cost of $20,000. d. Depreciation recorded on factory equipment, $105,000. e. Other manufacturing overhead costs accrued during October, $129,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $9 per...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account, $210,000 b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 Indirect materials). c. Accrued direct labor cost of $49,000 and indirect labor cost of $20,000. d. Depreciation recorded on factory equipment, $104,000. e. Other manufacturing overhead costs accrued during October, $130,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $7 per...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: Raw materials purchased on account, $209,000. Raw materials used in production, $192,000 ($153,600 direct materials and $38,400 indirect materials). Accrued direct labor cost of $49,000 and indirect labor cost of $21,000. Depreciation recorded on factory equipment, $105,000. Other manufacturing overhead costs accrued during October, $129,000. The company applies manufacturing overhead cost to production using a predetermined rate of $8 per machine-hour. A total of 76,300 machine-hours...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: Raw materials purchased on account, $210,000. Raw materials used in production, $189,000 ($151,200 direct materials and $37,800 indirect materials). Accrued direct labor cost of $50,000 and indirect labor cost of $21,000. Depreciation recorded on factory equipment, $106,000. Other manufacturing overhead costs accrued during October, $130,000. The company applies manufacturing overhead cost to production using a predetermined rate of $7 per machine-hour. A total of 76,300 machine-hours...
The Polaris Company uses a job-order costing system. The following transactions occurred in October a. Raw materials purchased on account. $210.000. b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 indirect materials) Accrued direct labor cost of $48,000 and indirect labor cost of $21,000. d. Depreciation recorded on factory equipment, $105,000. e. Other manufacturing overhead costs accrued during October, $131,000. The company applies manufacturing overhead cost to production using a predetermined rate of $7 per machine-hour. A...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account, $209,000. b. Raw materials used in production, $191,000 ($152,800 direct materials and $38,200 indirect materials). C. Accrued direct labor cost of $50,000 and indirect labor cost of $21,000. d. Depreciation recorded on factory equipment, $104,000. e. Other manufacturing overhead costs accrued during October, $129,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $10 per...
The Polaris Company uses a job-order costing system. The following transactions occurred in October a. Raw materials purchased on account, $209,000 b. Raw materials used in production. $191,000 ($152.800 direct materials and $38.200 indirect materials) c. Accrued direct labor cost of $48.000 and indirect labor cost of $21.000 d. Depreciation recorded on factory equipment, $104,000. e. Other manufacturing overhead costs accrued during October $130.000 The company applies manufacturing overhead cost to production using a predetermined rate of $6 per machine...
The Polaris Company uses a job-order costing system. The following transactions occurred in October: Raw materials purchased on account, $211,000. Raw materials used in production, $190,000 ($152,000 direct materials and $38,000 indirect materials). Accrued direct labor cost of $50,000 and indirect labor cost of $21,000. Depreciation recorded on factory equipment, $104,000. Other manufacturing overhead costs accrued during October, $130,000. The company applies manufacturing overhead cost to production using a predetermined rate of $8 per machine-hour. A total of 76,500 machine-hours...