Question

Prepare a T-Account for the following (Managerial Accouting): a. Raw materials were issued to production, $105,000;...

Prepare a T-Account for the following (Managerial Accouting):

a.

Raw materials were issued to production, $105,000; $6,800 of this amount was for indirect materials.

b.

Sales for the year totaled $650,000 and were all on account. The total cost to produce these display units was $344,000 according to their job cost sheets.
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

1. Here First It is assumed that the material balance was nil. Therefore the complete were purchased therefore they credited to Cost Control A\c.

Then the materials that are directly used for production are transfered to Work In Progress A\c and the amt of indirect material is transfered to Admin Over heads A\c.

2. Then the complete cost of wages i.e. $344,000 is credited to cost control A\c and debited to Wages A\c.

Then there is no indirect wages therefore the complete is transfered to Work In progress A\c.

3. Assuming there is not balance in Work in Progress a\c the amt from material A\c & Wages A\c is debited to the wages A\c and the credit is transfered to Finished Goods A\c. Asumuing there is no closing balance in the work in progress A\c.

4. Asuming there is no opening balance in the Finished Goods A\c the complete is transfered to Costing P&L A\c for calculating the profit or loss.

5. The Profit Calculated From cost control a\c is debited to Costin p&l A\c.

6. The charges transfered to Admin over head A\c are transfered to costing P&l A\c.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The Polaris Company uses a job-order costing system. The following transactions occurred in October: Raw materials...
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 $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 $7 per machine-hour. A total of 76,300 machine-hours...
Prepare journal entries for the following transactions assuming the company uses a job-order costing system: Raw...
Prepare journal entries for the following transactions assuming the company uses a job-order costing system: Raw materials were purchased on account for $300,000 Raw materials were issued to production for $290,000 ($228,000 direct material and $62,000 indirect materials). Direct labour cost was incurred for $110,000 and indirect labour cost was incurred for $90,000. Depreciation was recorded on factory equipment for $70,000. Other manufacturing overhead costs were incurred on account for $140,000.
Marcelino Co.'s March 31 inventory of raw materials is $87,000. Raw materials purchases in April are...
Marcelino Co.'s March 31 inventory of raw materials is $87,000. Raw materials purchases in April are $530,000, and factory payroll cost in April is $378,000. Overhead costs incurred in April are: indirect materials, $59,000; indirect labor, $21,000; factory rent, $36,000; factory utilities, $21,000; and factory equipment depreciation, $56,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $650,000 cash in April. Costs of the three jobs worked on in April follow. Job 306 Job...
Larned Corporation recorded the following transactions for the just completed month. $76,000 in raw materials were...
Larned Corporation recorded the following transactions for the just completed month. $76,000 in raw materials were purchased on account. $74,000 in raw materials were used in production. Of this amount, $66,000 was for direct materials and the remainder was for indirect materials. Total labor wages of $124,500 were paid in cash. Of this amount, $100,200 was for direct labor and the remainder was for indirect labor. Depreciation of $197,000 was incurred on factory equipment. Record the above transactions in journal...
Findlay Company uses a job-order costing system. The following data relate to the month of October,...
Findlay Company uses a job-order costing system. The following data relate to the month of October, the first month of the company’s fiscal year:             10/1    Raw materials purchased on account, $ 210,000.             10/7    Raw materials issued to production, $ 190,000. ( 80% direct and 20%                        indirect)             10/8    Direct labor cost issued to production, $49,000; and indirect labor cost incurred                        $21,000)             10/22 The company applies manufacturing overhead cost to production on the                        ...
Larned Corporation recorded the following transactions for the just completed month. $89,000 in raw materials were...
Larned Corporation recorded the following transactions for the just completed month. $89,000 in raw materials were purchased on account. $87,000 in raw materials were used in production. Of this amount, $72,000 was for direct materials and the remainder was for indirect materials. Total labor wages of $107,500 were paid in cash. Of this amount, $101,500 was for direct labor and the remainder was for indirect labor. Depreciation of $191,000 was incurred on factory equipment. Required: Record the above transactions in...
Larned Corporation recorded the following transactions for the just completed month. $81,000 in raw materials were...
Larned Corporation recorded the following transactions for the just completed month. $81,000 in raw materials were purchased on account. $79,000 in raw materials were used in production. Of this amount, $71,000 was for direct materials and the remainder was for indirect materials. Total labor wages of $117,500 were paid in cash. Of this amount, $101,200 was for direct labor and the remainder was for indirect labor. Depreciation of $195,000 was incurred on factory equipment. Required: Record the above transactions in...
On August 1, Shead Corporation had $35,000 of raw materials on hand. During the month, the...
On August 1, Shead Corporation had $35,000 of raw materials on hand. During the month, the company purchased an additional $56,000 of raw materials. During August, $69,000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $6,000. Prepare journal entries to record these events. Use those journal entries to answer the following questions: The debits to the Manufacturing Overhead account as a consequence of...
The following data relate to the activities of Nana Company during the year: 1. Raw materials...
The following data relate to the activities of Nana Company during the year: 1. Raw materials used to produce $100,000 (all direct materials). 2. Salaries costs incurred on account: direct labour $200,000 (40,000 hours); indirect labour $60,000; selling and administrative $130,000. 3. Utilities cost incurred for the factory $40,000 on credit. 4. Advertising cost incurred for the year $50,000 on credit. 5. Depreciation recorded for the year $30,000, of which 60% related to the factory and 40% related to selling...
The following transactions occurred during the month of October: October 5 Raw materials totaling $15,000 were...
The following transactions occurred during the month of October: October 5 Raw materials totaling $15,000 were purchased on account. October 8 Direct materials totaling $6,000 were placed in production. October 10 Indirect materials totaling $1,000 were placed in production. Required: a. Set up T-accounts for raw materials inventory, work-in-process inventory, manufacturing overhead, and accounts payable. b. Use the T-accounts established in part a to record the transactions for October.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT