Question

Job Order Cost; Journal Entries; Ending Work in Process; Inventory Analysis Sultan, Inc. manufactures goods to special order and uses a job order cost system. During its first month of operations, the following selected transactions took place: a. Materials purchased on account.... b. Materials issued to the factory $37,000 $2,200 5,700 7,100 1,700 ,350 Job 101 Job 103... For general use in the factory...... Factory wages and salaries earned: Job 101..2,700 Job 102. Job 103.... Job 104 For general work in the factory c. 6,800 9,200 2,100 2250 d. Distributed the payroll in (c). Miscellaneous factory overhead cots on account . . s 2 400 . . . . . . . . . f. Depreciation of $2,000 on the factory machinery recorded g. Factory overhead allocated as follows $ 1,200 2.000 Job 102... Job 103... Job 104 Jobs 101, 102, and 103 completed. h. i. Jobs 101 and 102 shipped to the oustomer and billed at $39,000

Answer 1

Schedule of Cost
			Job 101	Job 102	Job 103	Job 104	Total
Direct material			2200	5700	7100	1700	16700
Direct Labour			2700	6800	9200	2100	20800
Manufacturing Overheads			1200	2000	3800	1000	8000
Total			6100	14500	20100	4800	45500
Journal entries:
S.no.	Accounts title and explanations				Debit $	Credit $
a.	Raw material Inventory				37000
	Accounts payable					37000
b.	Work in process inventory				16700
	Manufacturing Overheads				1350
	Raw material inventory					18050
c & d.	Work in process inventory				20800
	Manufacturing Overheads				2250
	Wages payable					23050
e.	Manufacturing Overheads				2400
	Accounts payable					2400