Auto-Motion is a lean manufacturer of self-driving wheelchairs. The company budgets $630,000 of conversion costs and 1,800 production hours for this year. The manufacturing of each wheelchair requires 20 production hours and raw materials costs of $4,370. The company started and completed 87 wheelchairs during the year and sold 71. Each wheelchair is sold for $15,000. Actual conversion costs equal applied conversion costs. Required: 1. Prepare journal entries to record (a) the purchase of raw materials on credit to produce 87 units, (b) applied conversion costs to the production of 87 units, (c) actual conversion costs of $609,000 (credit "Various Accounts"), (d) sale of 71 units on credit, and (e) ending inventory and cost of goods sold. 2. Compute the ending balances of Work in Process Inventory and Finished Goods Inventory. Assume each of these inventory accounts began the year with a balance of zero. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the ending balances of Work in Process Inventory and Finished Goods Inventory. Assume each of these inventory accounts began the year with a balance of zero. Ending Balances Work in process inventory Finished goods inventory

Auto-Motion is a lean manufacturer of self-driving wheelchairs. The company budgets $630,000 of conversion costs and 1,800 production hours for this year. The manufacturing of each wheelchair recuires 20 production hours and raw materials costs of $4,370. The company started and completed 87 wheelchairs during the year and sold 71. Each wheelchair is sold for $15,000. Actual conversion costs equal applied conversion costs. Required: 1. Prepare journal entries to recoid (a) the purchase of raw materials on credit to produce 87 units, (b) applied conversion costs to the production of 87 units, (c) actual conversion costs of $609.000 (credit "Various Accounts"). ( ( ) sale of 71 units on credit, and (e) ending inventory and cost of goods sold. 2. Compute the ending balances of Work in Process Inventory and Finished Goods Inventory. Assume each of these inventory accounts began the year with a balance of zero. Complete this question by entering your answers in the tabs below. Compute the ending balances of Work in Process Inventory and Finished Coods Inventory. Aosurne each of these inventory accounts began the year with a balance of zeto