Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Blossom Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Blossom Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October 1,2022, inventories consisted of Raw Materials $20,800, Work in ProcessMixing $0, Work in Process - Packaging $200,000, and Finished Goods $231,200. The beginning inventory for Packaging consisted of 8,000 units that were 50% complete as to conversion costs and fully complete as to materials. During October, 40,000 units were started into production in the Mixing Department and the following transactions were completed. 1. Purchased $240,000 of rapmaterials on account. 2. Issued direct materials for production: Mixing $168,000 and Packaging $36,000. 3. Incurred labor costs of $223,120. (Use Wages Payable). 4. Used factory labor: Mixing $146,000 and Packaging $77,120. 5. Incurred $648,000 of manufacturing overhead on account. 6. Applied manufacturing overhead on the basis of $23 per machine hour. Machine hours were 22,400 in Mixing and 4,800 in Packaging. 7. Transferred 36.000 units from Mixing to Packaging at a cost of $783.200. 8. Completed and transferred 42,400 units from Packaging to Finished Goods at a cost of $1,052,000. 9. Sold goods costing $1,283,200 for $2,000,000 on account. 4. I ournalize the October transactions. (List all debit entries before credit entries. Credit occount titles are outomatically indented w s sentered. Do not indent manually.) 7. 8. 9. (Torecord the sale) Blossom Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October 1,2022, inventories consisted of Raw Materials $20,800, Work in ProcessMixing $0, Work in Process - Packaging $200,000, and Finished Goods $231,200. The beginning inventory for Packaging consisted of 8,000 units that were 50% complete as to conversion costs and fully complete as to materials. During October, 40,000 units were started into production in the Mixing Department and the following transactions were completed. 1. Purchased $240,000 of rapmaterials on account. 2. Issued direct materials for production: Mixing $168,000 and Packaging $36,000. 3. Incurred labor costs of $223,120. (Use Wages Payable). 4. Used factory labor: Mixing $146,000 and Packaging $77,120. 5. Incurred $648,000 of manufacturing overhead on account. 6. Applied manufacturing overhead on the basis of $23 per machine hour. Machine hours were 22,400 in Mixing and 4,800 in Packaging. 7. Transferred 36.000 units from Mixing to Packaging at a cost of $783.200. 8. Completed and transferred 42,400 units from Packaging to Finished Goods at a cost of $1,052,000. 9. Sold goods costing $1,283,200 for $2,000,000 on account. 4. I ournalize the October transactions. (List all debit entries before credit entries. Credit occount titles are outomatically indented w s sentered. Do not indent manually.) 7. 8. 9. (Torecord the sale)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started