Question
Chapter 2 Problem 44. LO.5 (Journal entries) The following transactions were incurred by Dimasi Industries during January 2013: (1) Issued $800,000 of direct material to
Chapter 2 Problem 44. LO.5 (Journal entries)
The following transactions were incurred by Dimasi Industries during January 2013: (1) Issued $800,000 of direct material to production. (2) Paid 40,000 hours of direct labor at $18 per hour. (3) Accrued 15,500 hours of indirect labor cost at $15 per hour. (4) Recorded $102,100 of depreciation on factory assets. (5) Accrued $32,800 of supervisors salaries. (6) Issued $25,400 of indirect material to production. (7) Completed goods costing $1,749,300 and transferred them to finished goods. a. Prepare journal entries for these transactions using a single overhead account for variable and fixed overhead. The Raw Material Inventory account contains only direct material; indirect material costs are recorded in Supplies Inventory. b. If Work in Process Inventory had a beginning balance of $18,900 and an ending balance of $59,600, what amount of manufacturing overhead was included in Work in Process Inventory during January 2013?
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