Question
Burman Co. uses a job-order costing system in its manufacturing operations. The company recorded the following transactions during the past week: a,Purchased 75 kilograms of
Burman Co. uses a job-order costing system in its manufacturing operations. The company recorded the following transactions during the past week: a,Purchased 75 kilograms of raw materials at $30 per kilogram. b.The payroll showed 412 hours of factory labor at $7 per hour. Analysis shows that 38 of the 412 hours are classified as indirect labor and the remainder as direct labor. c.Requisitions filled by the raw materials storeroom consisted of $1,875 of direct materials and $224 of indirect materials. d. Depreciation on factory equipment totaled $380. e. The plant superintendent's salary was $1,775. f. Other manufacturing overhead items incurred amounted to $2,016. g. Manufacturing overhead was applied at the rate of $8 per direct labor hour. h. Jobs having a total cost of $6,023 were completed and transferred to the finished goods warehouse. Sales (all on account) totaled $12,701. Cost of Goods Sold for the sales noted in (i) amounted to $8,090. Required: Prepare journal entries to record the transactions for the week. Assume all purchases are on account. Key your answers to letters a) through j) above. Show ALL supporting work and computations clearly!
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