Bjerg Corporation incurred several costs

Module 1 Exercises: Problem 1: Elder Company is a manufacturer of personal computers. Various costs and expenses associated with its operations are below. The company intends to classify these costs and expenses into categories. Match the Cost and Expenses with the appropriate Category. Cost and Expenses Association Categories 1. Property taxes on the factory building Period costs Direct materials 2. Production superintendents' salaries Manufacturing overhead Direct labor 3. Memory boards and chips used in assembling computers. Direct materials Manufacturing overhead 4. Depreciation on the factory equipment. Manufacturing overhead Period costs 5. Salaries for assembly line quality Direct labor control inspectors 6. Sales commissions paid to sell personal computers. Manufacturing overhead 7. Electrical components used in assembling computers. Direct materials 8. Wages of workers assembling personal computers Direct labor 9. Soldering materials used on factory assembly line. Direct materials Manufacturing overhead 10. Salaries for the night security guards for the factory building. NOTE: You will associate each cost and expense to the appropriate letter (representing categories) using the center column. Problem 2: Bjerg corporation Direct materials Raw materials on account $46,300.00 Raw materials rec to factory $36,000.00 Indirect labor $6,800.00 labor $53,900.00 time tickets $48,000.00 overhead $80,500.00 Man. Overhead 150% of direct labor goods cost $88,000.00 trans to finished goods finished goods $75,000.00 Man. Were sold on account for $103,000.00 1. 2. 3. 4. 5. 6. 7. 8. b b Bjerg Corporation incurred several costs. Prepare entries for manufacturing costs. Journalize the following transactions. Purchased raw materials on account $46,300 Raw Materials of $36,000 were requisitioned to the factory. An analysis of the materials requisition slips indicates that $6,800 was classified as indirect materials. Factory labor costs incurred were $53,900, of which $49,000 pertained to factory wages payable and $4,900 pertained to employer payroll taxes payable. Time tickets indicated that $48,000 was direct labor and $5,900 was indirect labor. Overhead costs incurred on account were $80,500. Manufacturing overhead was applied at the rate of 150% of direct labor cost. Goods costing $88,000 were completed and transferred to finished goods. Finished goods costing $75,000 to manufacture were sold on account for $103,000