Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Compute Erkens Companys predetermined overhead rate for the year. Predetermined overhead rate Per machine hour Prepare journal entries to record the events that occurred during

  1. Compute Erkens Companys predetermined overhead rate for the year.
Predetermined overhead rate
Per machine hour
  1. Prepare journal entries to record the events that occurred during April. (If no entry is required for a transaction/event, select \"No journal entry required\" in the first account field.)
Journal entry worksheet Purchased 180,000 pounds of materials on account; the cost was $5.00 per pound. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Issued 120,000 pounds of materials to production, of which 15,000 pounds were used as indirect materials. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Incurred direct labor costs of $240,000 and $40,000 of indirect labor costs. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Recorded depreciation on equipment for the month, $75,700. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Recorded insurance costs for the manufacturing property, $3,500. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Paid $8,500 cash for utilities and other miscellaneous items for the manufacturing plant. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Completed Job H11 costing $7,500 and Job G28 costing $77,000 during the month and transferred them to the Finished Goods Inventory account. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Record the cost of the Job G28 which was shippped to the customer during the month. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Record the invoice issued for Job G28. The sale was made at 35% above cost. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















Used 7,700 machine-hours during April. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.






















3-a. Compute the amount of overapplied or underapplied overhead.

Overhead
3-b. Prepare a journal entry to close overapplied or underapplied overhead into cost of goods sold on April 30. (If no entry is required for a transaction/event, select \"No journal entry required\" in the first account field.) Journal entry worksheet Record the entry to close the overhead account. Note: Enter debits before credits.
Transaction General Journal Debit Credit
a.























 



Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Quantitative Methods For Business

Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Cam

11th Edition

978-0324651812, 324651813, 978-0324651751

More Books

Students also viewed these General Management questions

Question

Discuss the purpose and contents of the Executive Summary.

Answered: 1 week ago