Cavy Company accumulated 590 hours of direct labor on Job 345 and 800 hours on Job 999 The direct labor was incurred at a rate of $18 per direct labor hour for Job 345 and $23 per direct labor hour for Job 999 Required Journalize the entry to record the flow of labor costs into production Refer to the Chart of Accounts for exact wording of account titles CHART OF ACCOUNTS Cavy Company General Ledger ASSETS 110 Cash 121 Accounts Receivable 131 Materials 133 Work in Process 135 Factory Overhead 137 Finished Goods 141 Supplies 142 Prepaid Expenses 181 Land 190 Factory Equipment 191 Accumulated Depreciation LIABILITIES 210 Accounts Payable 221 Utilities Payable 251 Wages Payable EQUITY 311 Common Stock 340 Retained Earnings 351 Dividends 390 Income Summary REVENUE 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Goods Sold 520 Wages Expense 531 Insurance Expense 532 Utilities Expense 533 Office Supplies Expense 560 Depreciation Expense 590 Miscellaneous Expense 710 Interest Expense

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Posted on Sep 17, 2024

Cavy Company accumulated 590 hours of direct labor on Job 345 and 800 hours on Job 999. The direct labor was incurred at a rate

Cavy Company accumulated 590 hours of direct labor on Job 345 and 800 hours on Job 999. The direct labor was incurred at a rate of $18 per direct labor hour for Job 345 and $23 per direct labor hour for Job 999.

Required:

Journalize the entry to record the flow of labor costs into production. Refer to the Chart of Accounts for exact wording of account titles.

CHART OF ACCOUNTS

Cavy Company

General Ledger

	ASSETS
110	Cash
121	Accounts Receivable
131	Materials
133	Work in Process
135	Factory Overhead
137	Finished Goods
141	Supplies
142	Prepaid Expenses
181	Land
190	Factory Equipment
191	Accumulated Depreciation

	LIABILITIES
210	Accounts Payable
221	Utilities Payable
251	Wages Payable

	EQUITY
311	Common Stock
340	Retained Earnings
351	Dividends
390	Income Summary

	REVENUE
410	Sales
610	Interest Revenue

	EXPENSES
510	Cost of Goods Sold
520	Wages Expense
531	Insurance Expense
532	Utilities Expense
533	Office Supplies Expense
560	Depreciation Expense
590	Miscellaneous Expense
710	Interest Expense