Question
eBook Question Content Area Journal Entries Sharma Company has three process departments: Mixing, Encapsulating, and Bottling. At the beginning of the year, there were no
eBook
Question Content Area
Journal Entries
Sharma Company has three process departments: Mixing, Encapsulating, and Bottling. At the beginning of the year, there were no work-in-process or finished goods inventories. The following data are available for the month of July:
Department | Manufacturing Costs Added* | Ending Work in Process | ||
---|---|---|---|---|
Mixing | $82,590 | $21,880 | ||
Encapsulating | 79,610 | 19,010 | ||
Bottling | 71,640 | 2,550 |
*Includes only the direct materials, direct labor, and the overhead used to process the partially finished goods received from the prior department. The transferred-in cost is not included.
Required:
Question Content Area
1. Prepare journal entries that show the transfer of costs (a) from Mixing to Encapsulating, (b) from Encapsulating to Bottling, and (c) from Bottling to finished goods inventory.
a. | Materials Overhead Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Work in Process-Encapsulating | Work in Process-Encapsulating | |
Finished Goods Materials Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Work in Process-Mixing | Work in Process-Mixing | ||
b. | Finished Goods Materials Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Work in Process-Bottling | Work in Process-Bottling | |
Finished Goods Materials Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Work in Process-Encapsulating | Work in Process-Encapsulating | ||
c. | Finished Goods Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Finished Goods | Finished Goods | |
Finished Goods Work in Process-Bottling Work in Process-Encapsulating Work in Process-Mixing Work in Process-Bottling | Work in Process-Bottling |
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Question Content Area
2. Post the entries made in Requirement 1 into the T-accounts below. The costs added from the data provided have been entered in the T-accounts.
WIPMixing | |||
---|---|---|---|
82,590 | fill in the blank 6d99bbf4001f05a_1 | ||
21,880 |
WIPEncapsulating | |||
---|---|---|---|
fill in the blank 6d99bbf4001f05a_2 | fill in the blank 6d99bbf4001f05a_3 | ||
79,610 | |||
19,010 |
WIPBottling | |||
---|---|---|---|
fill in the blank 6d99bbf4001f05a_4 | fill in the blank 6d99bbf4001f05a_5 | ||
71,640 | |||
2,550 |
Finished Goods | |||
---|---|---|---|
fill in the blank 6d99bbf4001f05a_6 |
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