Question

Factory Overhead Costs

During May, Keenan Company incurred factory overhead costs as follows: indirect materials, $1,270; indirect labor, $4,360; utilities cost, $1,410; and factory depreciation, $4,670.

Journalize the entry to record the factory overhead incurred during May.

For a compound transaction, if an amount box does not require an entry, leave it blank.

Answer 1

Solution :

The journal entry to record the factory overhead incurred by Keenan Company during May is

Particulars	Debit Amount	Credit Amount
Factory overhead a/c   Dr.	$ 11,710
To Materials a/c		$ 1,270
To Wages Payable a/c		$ 4,360
To Utilities Payable a/c		$ 1,410
To Accumulated Depreciation ( Factory ) a/c		$ 4,670