Question

Problem 15-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3 The following information applies to the questions displayed below Widmer watercraft's predetermined overhead rate for year 2015 is 200% of dred labor Information on the company's production activities during May 2015 follows a. Purchased raw materlials on credit,$200,000 b. Materials requisitions record use of the following materials for the month Job 136 ob 137 Job 138 Job 139 Job 140 s 49,000 32,500 19,600 23,200 7400 Total direct materials Indirect materials 20,500 Total materials used $152,200 C. Paid $15750 cash to a computer consultant to reprogram factory equipment d. Time tickets record use of the follawing labor for the month. These wages were paid in cash Job 136 Job 137 Job 138 Job 139 Job 140 $ 12,200 0,800 37500 39,200 4,000 Total direct labor Indirect labor 03700 26,000 Total $129,700

Answer 1

Job No. 136 Job No.137 Job No. 138 Job No. 139 Job No.140 Materials (d.) Labor (e.) Overhead (200% of labor) Total cost 23200 39200 78400 $ 8560064900132100 $ 140800 49000 12200 24400 32500 10800 21600 19600 37500 75000 7400 4000 8000 $19400 Created by Universal Document Converter

Transaction General Journal Debit Credit 200000 Raw materials inventory Accounts payable 200000 Factory payroll Cash 129700 129700 Factory overhead Cash C. 15750 15750 Goods in process inventory Factory overhead Raw materials inventory 131700 20500 152200 Goods in process inventory Factory overhead Factory payroll 103700 26000 129700 f. (hint) Goods in process inventory 177800 Factory overhead 177800 g. (hintj) Finished goods inventory 358500 Goods in process inventory 358500 h(1).Accounts receivable 550000 Sales 550000 Created by Universal Document Converter

h(2). (hint!) Cost of goods sold 218700 Finished goods inventory 218700 155500 Factory overhead Accum. depreciation--Factory building Accum. depreciation- Factory equipment Prepaid insurance Property taxes payable 69500 38500 11000 36500 Goods in process inventory Factory overhead 29600 29600 To apply overhead to jobs: [(S12,200 $37,500+ $39,200) x 200%] $177,800 To record completion of jobs: ($85,600 $132,100 $140,800) $358,500 To record cost of sales: (S85,600 $132,100) $217,700 To apply overhead to jobs: ($10,800+ $4,000) x 200%) : $29,600 h. Created by Universal Document Converter

Raw Material Inventor Finished goods Inventory 200000 358500 152200 217700 End. Bal 47800 End. Bal 140800 Goods in Process Inventory 131700g 103700 177800 29600 84300 Factory overhead 15750 f 20500j 26000 155500 10350 358500c 177800 29600 End. Bal End. Bal Factoory Payroll Cost of goods Sold 217700 129700 129700 End. Bal 0 End. Bal 217700 Created by Universal Document Converter

Reports of Job Costs Goods in Process Inventory Job 137 Job 140 64900 19400 84300 140800 140800 85600 Balance Finished Goods Inventory Job 139 Balance Cost of Goods Sold Job 136 Job 138 132100 Balance 217700 Created by Universal Document Converter