Question
Entries for Costs in a Job Order Cost System Velasco Co. uses a job order cost system. The following data summarize the operations related to
Entries for Costs in a Job Order Cost System
Velasco Co. uses a job order cost system. The following data summarize the operations related to production for July:
- Materials purchased on account, $673,500
- Materials requisitioned, $565,740, of which $73,550 was for general factory use
- Factory labor used, $693,710, of which $131,800 was indirect
- Other costs incurred on account for factory overhead, $161,640; selling expenses, $249,200; and administrative expenses, $148,170
- Prepaid expenses expired for factory overhead, $30,980; for selling expenses, $26,270; and for administrative expenses, $18,860
- Depreciation of office building was $90,250; of office equipment, $45,800; and of factory equipment, $30,980
- Factory overhead costs applied to jobs, $383,890
- Jobs completed, $889,020
- Cost of goods sold, $862,080
Required:
Journalize the entries to record the summarized operations. If an amount box does not require an entry, leave it blank.
a. Materials purchased on account, $673,500.
Entry | Description | Debit | Credit |
---|---|---|---|
a. | Accounts PayableFactory OverheadFinished GoodsMaterialsWork in Process | fill in the blank 2 | fill in the blank 3 |
Accounts PayableFactory OverheadFinished GoodsMaterialsWork in Process | fill in the blank 5 | fill in the blank 6 |
b. Materials requisitioned, $565,740, of which $73,550 was for general factory use.
Entry | Description | Debit | Credit |
---|---|---|---|
b. | Accounts PayableCost of Goods SoldFinished GoodsMaterialsWork in Process | fill in the blank 8 | fill in the blank 9 |
Administrative ExpensesFactory OverheadFinished GoodsMaterialsSelling Expenses | fill in the blank 11 | fill in the blank 12 | |
Factory OverheadFinished GoodsCost of Goods SoldMaterialsWork in Process | fill in the blank 14 | fill in the blank 15 |
c. Factory labor used, $693,710, of which $131,800 was indirect.
Entry | Description | Debit | Credit |
---|---|---|---|
c. | Accounts PayableFinished GoodsMaterialsWages PayableWork in Process | fill in the blank 17 | fill in the blank 18 |
Accounts PayableCost of Goods SoldFinished GoodsFactory OverheadWages Payable | fill in the blank 20 | fill in the blank 21 | |
Accounts PayableCost of Goods SoldFactory OverheadWages PayableWork in Process | fill in the blank 23 | fill in the blank 24 |
d. Other costs incurred on account for factory overhead, $161,640; selling expenses, $249,200; and administrative expenses, $148,170.
Entry | Description | Debit | Credit |
---|---|---|---|
d. | Accounts PayableAccounts ReceivableFactory OverheadMaterialsPrepaid Expenses | fill in the blank 26 | fill in the blank 27 |
Accounts PayableAccounts ReceivableFinished GoodsSelling ExpensesWork in Process | fill in the blank 29 | fill in the blank 30 | |
Accounts PayableAdministrative ExpensesFinished GoodsMaterialsWork in Process | fill in the blank 32 | fill in the blank 33 | |
Administrative ExpensesAccounts PayableFactory OverheadFinished GoodsSelling Expenses | fill in the blank 35 | fill in the blank 36 |
e. Prepaid expenses expired for factory overhead, $30,980; for selling expenses, $26,270; and for administrative expenses, $18,860.
Entry | Description | Debit | Credit |
---|---|---|---|
e. | Accounts ReceivableCashFactory OverheadFinished GoodsWork in Process | fill in the blank 38 | fill in the blank 39 |
CashCost of Goods SoldFinished GoodsMaterialsSelling Expenses | fill in the blank 41 | fill in the blank 42 | |
Accounts PayableAdministrative ExpensesFinished GoodsPrepaid ExpensesWork in Process | fill in the blank 44 | fill in the blank 45 | |
Accounts ReceivableAdministrative ExpensesFactory OverheadPrepaid ExpensesSelling Expenses | fill in the blank 47 | fill in the blank 48 |
f. Depreciation of office building was $90,250; of office equipment, $45,800; and of factory equipment, $30,980.
Entry | Description | Debit | Credit |
---|---|---|---|
f. | Accumulated Depreciation-Office BuildingAccumulated Depreciation-Office EquipmentCost of Goods SoldFinished GoodsDepreciation Expense-Office Building | fill in the blank 50 | fill in the blank 51 |
Accumulated Depreciation-Office BuildingAccumulated Depreciation-Office EquipmentCost of Goods SoldFinished GoodsDepreciation Expense-Office Equipment | fill in the blank 53 | fill in the blank 54 | |
Accounts ReceivableAccumulated Depreciation-Office EquipmentCost of Goods SoldFactory OverheadWork in Process | fill in the blank 56 | fill in the blank 57 | |
Accumulated Depreciation-Office BuildingFinished GoodsDepreciation Expense-Office EquipmentDepreciation Expense-Office BuildingFactory Overhead | fill in the blank 59 | fill in the blank 60 | |
Accumulated Depreciation-Office EquipmentFinished GoodsDepreciation Expense-Office EquipmentDepreciation Expense-Office BuildingFactory Overhead | fill in the blank 62 | fill in the blank 63 | |
Accumulated Depreciation-Factory EquipmentFinished GoodsDepreciation Expense-Office EquipmentDepreciation Expense-Office BuildingFactory Overhead | fill in the blank 65 | fill in the blank 66 |
g. Factory overhead costs applied to jobs, $383,890.
Entry | Description | Debit | Credit |
---|---|---|---|
g. | Accounts ReceivableFactory OverheadFinished GoodsMaterialsWork in Process | fill in the blank 68 | fill in the blank 69 |
Accounts PayableFactory OverheadFinished GoodsMaterialsWork in Process | fill in the blank 71 | fill in the blank 72 |
h. Jobs completed, $889,020.
Entry | Description | Debit | Credit |
---|---|---|---|
h. | Accounts PayableCost of Goods SoldFinished GoodsMaterialsWork in Process | fill in the blank 74 | fill in the blank 75 |
Accounts PayableAccounts ReceivableFactory OverheadFinished GoodsWork in Process | fill in the blank 77 | fill in the blank 78 |
i. Cost of goods sold, $862,080.
Entry | Description | Debit | Credit |
---|---|---|---|
i. | Accounts ReceivableCost of Goods SoldFinished GoodsFactory OverheadWork in Process | fill in the blank 80 | fill in the blank 81 |
Accounts ReceivableAccounts PayableCost of Goods SoldFinished GoodsMaterials | fill in the blank 83 | fill in the blank 84 |
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