Analyzing Manufacturing Cost Accounts

Fire Rock Company manufactures designer paddle boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for June:

Materials
June 1	Balance	39,400	June 30	Requisitions	(A)
June 30	Purchases	158,100

Work in Process
June 1	Balance	(B)	June 30	Completed jobs	(F)
June 30	Materials	(C)
June 30	Direct labor	(D)
June 30	Factory overhead applied	(E)

Finished Goods
June 1	Balance	0	June 30	Cost of goods sold	(G)
June 30	Completed jobs	(F)

Wages Payable
			June 30	Wages incurred	125,000

Factory Overhead
June 1	Balance	22,600	June 30	Factory overhead applied	(E)
June 30	Indirect labor	(H)
June 30	Indirect materials	21,000
June 30	Other overhead	63,900

In addition, the following information is available:

a. Materials and direct labor were applied to six jobs in July:

Job No.		Style	Quantity		Direct Materials				Direct Labor
201		T100	220			$28,080				$16,000
202		T200	410			42,900				26,000
203		T400	210			17,930				8,000
204		S200	280			44,520				28,000
205		T300	180			25,700				17,000
206		S100	140			9,080				5,000
		Total	1,440			$168,210				$100,000

b. Factory overhead is applied to each job at a rate of 130% of direct labor cost.

c. The June 1 Work in Process balance consisted of two jobs, as follows:

Job No.	Style	Work in Process, June 1
201	T100	$6,400
202	T200	16,200
Total		$22,600

d. Customer jobs completed and units sold in July were as follows:

Job No.	Style	Completed in July	Units Sold in July
201	T100	X	176
202	T200	X	328
203	T400		0
204	S200	X	235
205	T300	X	149
206	S100		0

1. Determine the missing amounts associated with each letter and complete the following table. If required, round amounts to the nearest dollar. If an answer is zero, enter in "0". Enter all amounts as positive numbers.

Job No.

Quantity

June 1 Work in Process

Direct Materials

Direct Labor

Factory Overhead

Total Cost

Unit Cost

Units Sold

Cost of Goods Sold

No. 201

fill in the blank 1

$ 6,400

$ 28,080

$ 16,000

$fill in the blank 2

$fill in the blank 3

$fill in the blank 4

fill in the blank 5

$fill in the blank 6

No. 202

fill in the blank 7

16,200

42,900

26,000

fill in the blank 8

fill in the blank 9

fill in the blank 10

fill in the blank 11

fill in the blank 12

No. 203

fill in the blank 13

17,930

8,000

fill in the blank 14

fill in the blank 15

fill in the blank 16

fill in the blank 17

No. 204

fill in the blank 18

44,520

28,000

fill in the blank 19

fill in the blank 20

fill in the blank 21

fill in the blank 22

fill in the blank 23

No. 205

fill in the blank 24

25,700

17,000

fill in the blank 25

fill in the blank 26

fill in the blank 27

fill in the blank 28

fill in the blank 29

No. 206

fill in the blank 30

9,080

5,000

fill in the blank 31

fill in the blank 32

fill in the blank 33

fill in the blank 34

Total

fill in the blank 35

$22,600

168,210

100,000

$fill in the blank 36

$fill in the blank 37

$fill in the blank 38

a. Materials Requisitions $fill in the blank 39

b. Work in Process Beginning Balance $fill in the blank 40

c. Direct Materials $fill in the blank 41

d. Direct Labor $fill in the blank 42

e. Factory overhead applied $fill in the blank 43

f. Completed jobs $fill in the blank 44

g. Cost of goods sold $fill in the blank 45

h. Indirect labor $fill in the blank 46

2. Determine the June 30 balances for each of the inventory accounts and factory overhead. Use the minus sign to indicate any credit balances.

Materials:	$fill in the blank 47
Work in Process:	$fill in the blank 48
Finished Goods:	$fill in the blank 49
Factory Overhead:	$fill in the blank 50