Question

Prepare journals:

1- material purchased on credit worth 2500

2- material issued to the production department worth 900

3- job completed and transferred to finish goods 850

4- goods sold to customers on account 1500

Answer 1

S.No.	Account titles and Expalanation	Debit	Credit
1	Materials	2500
	Accounts Payable		2500
	(To record purchasing materials on account)
2	Work-in-Process Inventory	900
	Materials		900
	(To record material issued to production department)
3	Finished Goods Inventory	850
	Work-in-Process Inventory		850
	(To record comletion of jobs)
4	Accounts Receivable	1500
	Sales Revenue		1500
	(To record sale on accounts)