Kaymer Industries Inc. uses a job order cost system. The following data summarize the operations related to production for January, the first month of operations:

a. Materials purchased on account, $33,100.

b. Materials requisitioned and factory labor used:

c. Factory overhead costs incurred on account, $6,470.

d. Depreciation of machinery and equipment, $1,790.

e. The factory overhead rate is $65 per machine hour. Machine hours used:

f. Jobs completed: 301, 302, 303, and 305.

g. Jobs were shipped and customers were billed as follows: Job 301, $23,450; Job 302, $19,210; Job 303, $17,360.

Instructions

1. Journalize the entries to record the summarized operations.

2. Post the appropriate entries to T accounts for Work in Process and Finished Goods, using the identifying letters as transaction codes. Insert memo account balances as of the end of the month. 

3. Prepare a schedule of unfinished jobs to support the balance in the work in process account.

4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account.

Transcribed Image Text:

Job Factory Labor $5,460 Materials 301 $2,740 302 3,980 2,570 2,930 303 3,070 304 8,850 8,520 305 6,210 1,840 306 4,290 6,110 For general factory use 1,200 4,520