CHART OF ACCOUNTS Port Ormond Carpet Company General Ledger ASSETS REVENUE 110 Cash 410 Sales 121 Accounts Receivable 610 Interest Revenue 125 Notes Receivable 126 Interest Receivable 131 Materials 141 Work in Process-Spinning Department 142 Work in Process-Tufting Department 151 Factory Overhead-Spinning Department 152 Factory Overhead-Tufting Department EXPENSES 510 Cost of Goods Sold 520 Wages Expense 531 Selling Expenses 532 Insurance Expense 533 Utilities Expense 534 Supplies Expense 540 Administrative Expenses 561 Depreciation Expense-Factory 590 Miscellaneous Expense 710 Interest Expense 161 Finished Goods 171 Supplies 172 Prepaid Insurance 173 Prepaid Expenses 181 Land 710 Interest Expense 181 Land 191 Factory 192 Accumulated Depreciation-Factory LIABILITIES 210 Accounts Payable 221 Utilities Payable 231 Notes Payable 236 Interest Payable 251 Wages Payable EQUITY 311 Common Stock 340 Retained Earnings 351 Dividends 390 Income Summary Instructions Port Ormond Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into yarn. The output of the Spinning Department is transferred to the Tufting Department, where carpet backing is added at the beginning of the process and the process is completed. On January 1, Port Ormond Carpet Company had the following inventories: Finished Goods Work in Process-Spinning Department $6,500 1,200 2,300 Work in Process-Tufting Department Materials 4,100 Departmental accounts are maintained for factory overhead, and both have zero balances on January 1. Manufacturing operations for January are summarized as follows: Jan. 1 Materials purchased on account, $84,700 2 Materials requisitioned for use: Fiber-Spinning Department, $42,800 Carpet backing-Tufting Department, $34,000 Indirect materials-Spinning Department, $3,400 Indirect materials-Tufting Department, $2,700 31 Labor used: Direct labor-Spinning Department, $26,600 Direct labor-Tufting Department, $17,600 Indirect labor-Spinning Department, $11,900 Indirect labor-Tufting Department, $11,800 31 Depreciation charged on fixed assets: Spinning Department, $5,400 Tufting Department, $4,000 31 31 Expired prepaid factory insurance: Spinning Department, $1,100 Tufting Department, $800 Applied factory overhead: Spinning Department, $22,200 Tufting Department, $18,950 Production costs transferred from Spinning Department to Tufting Department, $89,500 Production costs transferred from Tufting Department to Finished Goods, $151,400 Cost of goods sold during the period, $154,200 31 31 31 Required: 1. Journalize the entries to record the operations, using the dates provided with the summary of manufacturing operations. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for spaces or journal explanations. Every line on a journal page is used for debit or credit entries. Do not add explanations or skip a line between journal entries. CNOW journals will automatically indent a credit entry when a credit amount is entered