Backflush Costing Hepworth Company has implemented a 3IT system and is considering the use of backflush costing. Hepworth had the following transactions for the current fiscal year: 1. Purchased raw materials on account for $570,000. 2. Placed all materials received into production. 3. Incurred actual direct labor costs of $85,500. 4. Incurred actual overhead costs of $593,800. 5. Applied conversion costs of $641,400. 6. Completed all work for the month. 7. Sold all completed work. 8. Computed the difference between actual and applied costs. Required: 1. Prepare the journal entries for traditional costing. 1. 2. 3. 4. 5. 0 0 0 0 0 0 0 0 C Hepworth Company has implemented a JIT system and is considering the use of backflush costing. Hepworth had the following transactions for the current fiscal year: 1. Purchased raw materials on account for $570,000. 2. Placed all materials received into production. 3. Incurred actual direct labor costs of $85,500. 4. Incurred actual overhead costs of $593,800. 5. Applied conversion costs of $641,400. 6. Completed all work for the month. 7. Sold all completed work. 8. Computed the difference between actual and applied costs. Required: 1. Prepare the journal entries for traditional costing. 2. Accounts Payable Accounts Receivable Cash Cost of Goods Sold Finished Goods Inventory Materials Inventory Overhead Control Wages Payable Work-in-Process inventory 2. 5. 0 0 0 0 0 0 0 0 0 0 0 Prepare the journal entries for backflush costing. Assume there are two trigger points: (1) the purchase of raw materials and (2) the completion of the goods. If no entry is required, select "No entry required" and leave the amount boxes blank or enter "0". For a compound transaction, if an amount box does not require an entry, leave it blank. 1. Prepare the journal entries for backflush costing. Assume there are two trigger points: (1) the purchase of raw materials and (2) the completion of the goods. If no entry is required, select "No entry required" and leave the amount boxes blank or enter "0". For a compound transaction, if an amount box does not require an entry, leave it blank. 2. 3 & 4 5. 6. 000000 00000 0 0000 0000 0 5. 0 001 6 Accounts Payable Conversion Cost Control Cost of Goods Sold Finished Goods Inventory No entry required 8. 100 0000 0 O 2. Assume the second trigger point in Requirement 1 is the sale of goods. If an amount box does not require an entry, leave it blank. What would change for the backflush-costing journal entries? with the following entry 2. Assume the second trigger point in Requirement 1 is the sale of goods. If an amount box does not require an entry, leave it blank. What would change for the backflush-costing journal entries? with the following entry. 3. Assume there is only one trigger point and it is (a) completion of the goods or (b) sale of goods. If an amount box does not require an entry, leave it blank. How would the backflush costing journal entries differ from Requirement 1 for (a)? with the following entry. How would the backflush costing journal entries differ from Requirement 1 for (b)? If an amount box does not require an entry, leave it blank. with the following entry. eBook 2. Assume the second trigger point in Requirement 1 is the sale of goods. If an amount box does not require an entry, leave it blank. Conversion Cost Control Cost of Goods Sold Raw Materials and in Process Inventory What would change for the backflush-costing journal entries? with the following entry. 3. Assume there is only one trigger point and it is (a) completion of the goods or (b) sale of goods. If an amount box does not require an entry, leave it blank. How would the backflush costing journal entries differ from Requirement 1 for (a)? with the following entry. How would the backflush costing journal entries differ from Requirement 1 for (b)? If an amount box does not require an entry, leave it blank. What would change for the backflush-costing journal entries? with the following entry. 3. Assume there is only one trigger point and it is (a) completion of the goods or (b) sale of goods. If an amount box does not require an entry, leave it blank. ........ How would the backflush costing journal entries differ from Requirement 1 for (a)? with the following entry. How would the backflush costing journal entries differ from Requirement 1 for (b)? If an amount box does not require an entry, leave it blank. with the following entry. Check My Work 1 mom Check My Work uses remaining with the following entry. 3. Assume there is only one trigger point and it is (a) completion of the goods or (b) sale of goods. If an amount box does not require an entry, leave it blank. How would the backflush costing journal entries differ from Requirement 1 for (a)? with the following entry. How would the backflush costing journal entries differ from Requirement 1 for (b)? If an amount box does not require an entry, leave it blank. No entry for transaction 1, transaction 6 and 7 are replaced in req 1. No entry for transaction 1, transaction 6 is replaced in req 1. No entry for transaction 1, transaction 7 is replaced in req. 1. Previous Next Save and Exit Submit for Gran