Cash

$180,000

Accounts Receivable

50,000

Finished Goods

20,000

Work in Process

7,000

Materials

12,000

Building

140,000

Accum deprec building

$14,000

Factory Equipment

90,000

Accum deprec equipmt

18,000

Office Equipment

35,000

Accum deprec off equip

7,000

Voucher Payable

25,000

Capital Stock

408,000

Retained Earnings

62,000

$534,000

$534,000

During the month, the following transactions took place:

a.Raw materials purchased on account for $ 175,890.

b.Issued materials to production to include direct

materials of $ 101,430 and indirect materials $ 16,700.

c.Recorded the payroll, the payments to employees,

and the distribution of wages and salaries earned for

month as follows:factory wages (including indirect

labor of $17,700) was $92,300 and selling and

administrative salaries $14,000. Ignore withholding

and deductions at this time.

d. Recognized depreciation for the month at an annual

rate of 10% on the building and 20% on the factory

equipment and office equipment.The sales and

administrative staff use 1/6 of the building for offices.

Assume all office equipment is in the portion

used by sales and administrative.

e.Incurred various other expenses totaling $9,200

on account.One fifth of this amount is

allocable to the office function.

f.Transferred total factory overhead costs to work

in process.

g.Completed and transferred goods with a total

cost of $140,000 to the finished goods storeroom.

h.Sold goods costing $150,000 for 187,500 on

account.

I.Collected accounts receivable in the amount of

$120,000.00

j. Paid accounts payable totaling $110,000.

Instructions:

1.Journalize each transaction a through j. using 9/30/2013 as a date.

2.Post to T-Accounts

3.Create a Cost of Goods Manufactured Statement for 9/30/2013

4.Create an Income Statement for 9/30/2013

5.Create a Balance Sheet for 9/30/2013