During the month of January, Lott Company began production on Jobs 51 and 52, and completed Jobs s0 and 51. Jobs 49 and 50 were also sold on account during the month for $145,180 and s188,020, respectively. The following additional events occurred during the month. 1. Purchased additional raw materials of $107,100 on account. 2. Incurred factory labor costs of $83,300. of this amount $19,040 related to employer payroll axes. 3. Incurred manufacturing overhead costs as follows: indirect materials $20.230; indirect labor $23,800; depreciation expense on equipment $14.280 and various other manufacturing overhead costs on account $19,040. Assigned direct materials and direct labor to jobs as follows. 4. Job No. Direct Materials Direct Labor 50 51 52 $11,900 46.410 35,700 $5,950 29.750 23,800 Calculate the predetermined overhead rate for 2017, assuming Lott Company estimates total manufacturing overhead costs of $999,600, direct labor costs of S833.000. and direct labor hours of 23,800 for the year. (Round answer to the nearest whole percent, eg. 25% Open job cost sheets for Jobs 50. 51, and 52. Enter the January 1 balances on the job cost sheet for Job No. 50. Job No. 50 Date Direct Materials Direct Labor Manufacturing Overhead Beg. Jan. Cost of completed job Direct materials Direc: labor Manufacturing overhead Toca cost ob No. 51 DateDirect Materials Direct Labor Manufacturing Overhead Jan. Cost of completed job Direct materials Direct labor Manufacturing overhead Total cost Job No. 52 Date Direct Materials Jan.s Direct Labor Manufacturing Overhead Prepare the journal entries to record the purchase of raw materials, the during the month of January. (Credit account titles are automatically indented when factory labor costs incurred, and the manufacturing overhead costs incurred amount is entered. Do not indent manually.) lo. Account Titles and Explanation DebitCredit Prepare the journal entries to record the assignment of direct manufacturing overhead costs, use the overhead rate calculated in (a). (Credit account titles are automatically indented when amount is entered. Do not indent manually.) materials, direct labor, and manufacturing overhead costs to production. In assigning No. Account Titles and Explanation Debit Credit Total the job coss shees for any joblg) completed during the month. Prapare the journal entry, to record the completion of anv job(s) duing the month (Credit account titles are automatically indented when amount is entered. D o not indent manually.) Account Titles and Explanation Debit Credit Prepare the journal entries to record the sale of any job(s) during the month. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit (To record sale of jobs) To record cost of jobs) What is the balance in the Finished Goods Inventory account st the and of the month? What does this balance consist of? Finished Goods toventory What is the amount of overt or underapplied bverhead? Manufacturing Overhead s
