Question

CHAPTER 26 REVIEW, PRACTICE, AND APPLI Case Problems Leaming Objective 2 Check Figure Ending balance, Raw Materials inventory - $23,200 Group A Problem 26-1A Objective: To account for materials in a job order cost accounting system Rawson Company shows the following transactions relating to its raw materials in January 20XX 20XX Jan. 7 Purchased $18,500 of Material A and $46,100 of Material B on credit. 12 Returned $600 of Material A and $1.700 of Material B, receiving credit. 22 Issued direct materials to production: Material A. $2,500: Material B. $44.700. 29 Issued $9.100 of Material A to production as indirect materials. Directions: 1. Enter a balance of $17.200 in the Raw Materials Inventory account (108) and balances on materials ledger records as follows: Material A. $11.400; Material B. $5,800 2. Journalize each of the January transactions. 3. Post to the Raw Materials Inventory account and the materials ledger records. 4. Compare the ending balance of the Raw Materials Inventory account with the total of the ending balances of the materials ledger records.

Answer 1

Answer of 1. Opening balance of "raw material inventory (108)", Raw material - A and "Raw material-B" have been entered on answer to the question "3"

AMOUNT Daw material inventory (108) AMOUNT DATE. PARTICULARS 2,300 C 22 By Work-in-prognes 47,200 DATE PARTICULARS Jani TO Balance bla Jonid By Accounts 17,200. 0 Copening Balonnce) | Payable Jan 7 TO ACCountS: 64,600 payable as 10.12 Jan By manufacturing Overhead Jan. By Balance cld 23200 TOTAL 81,800 10 29 N MIT 81,800 31 TOTAL

Raw material - A 18 500 22 BY Work-in- Jan TO Balance bld 10 san By Accounts 600 Copening Balance )| 11,600 MUTTAA Payable Jan 2500 Jant To Accounts 18,500 221 Progress payable, boz, 21 Ja Jan By manufacturing 9,100 COUNT Overhead 17700 003 Sidoullet Jan By Balance eld TOTAL 29,900 OD mwa TOTAL (ribor) 29,900

Raw materion B SCI Jant To Accounts 46,100 Jan By work-in- uy, 700 MOL Jant To Balancebla 5,800 Jan) By Accounts nie en la paycinie 1700 co Payable for a 22 Prog ney' PROTOVO Todowo 37) & wiston Jan By Balanced 5,500 Croit bonglotpurri Gotin & 001,P povo OTURDUOMO ool TOTAL Note 51,900 TOTAL 51,900 noi Jubol of longri A wogrono

Ending Balance of raw material inventory - $ 23,200 Ending Balance of "Raw material A 17,700 Endling Balance OP" Raw material B 5,500 Endling Balance 012 Raw material (4+13) 17700 +5,500 - $ 23,200 So, Ending Balance op daw materias Total ending Balanie ove both A+B
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