Entries for Factory Costs and Jobs Completed

Entrepreneurial Publishing Inc. began printing operations on January 1. Jobs 301 and 302 were completed during the month, and all costs applicable to them were recorded on the related cost sheets. Jobs 303 and 304 are still in process at the end of the month, and all applicable costs except factory overhead have been recorded on the related cost sheets. In addition to the materials and labor charged directly to the jobs, $3,080 of indirect materials and $37,280 of indirect labor were used during the month. The cost sheets for the four jobs entering production during the month are as follows, in summary form:

Job 301				Job 302
Direct materials	$31,880			Direct materials	$14,900
Direct labor	12,200			Direct labor	6,300
Factory overhead	6,710			Factory overhead	3,465
Total	$50,790			Total	$24,665
Job 303				Job 304
Direct materials	$42,370			Direct materials	$9,180
Direct labor	13,500			Direct labor	1,800
Factory overhead				Factory overhead

Journalize the summary entry to record each of the following operations for January (one entry for each operation):

a. Direct and indirect materials used. If an amount box does not require an entry, leave it blank.

	Work in Process	fill in the blank 239f2402905efed_2	fill in the blank 239f2402905efed_3
	Factory Overhead	fill in the blank 239f2402905efed_5	fill in the blank 239f2402905efed_6
	Materials	fill in the blank 239f2402905efed_8	fill in the blank 239f2402905efed_9

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a. Record direct materials costs in the work in process account, and indirect materials costs in the factory overhead account.

b. Direct and indirect labor used. If an amount box does not require an entry, leave it blank.

	Work in Process	fill in the blank d1848a058044040_2	fill in the blank d1848a058044040_3
	Factory Overhead	fill in the blank d1848a058044040_5	fill in the blank d1848a058044040_6
	Wages Payable	fill in the blank d1848a058044040_8	fill in the blank d1848a058044040_9

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b. Record direct labor costs in the work in process account, and indirect labor costs in the factory overhead account.

c. Determine the factory overhead applied to Jobs 303 and 304 (a single overhead rate is used based on direct labor cost).

Job 303	$fill in the blank 466255054fd4fc0_1
Job 304	$fill in the blank 466255054fd4fc0_2

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Incorrect

d. Factory overhead applied to all four jobs (a single overhead rate is used based on direct labor cost). If an amount box does not require an entry, leave it blank.

	Work in Process	fill in the blank cb2e08feefa105b_2	fill in the blank cb2e08feefa105b_3
	Factory Overhead	fill in the blank cb2e08feefa105b_5	fill in the blank cb2e08feefa105b_6

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d. Apply factory overhead based on direct labor costs.

e. Completion of Jobs 301 and 302. If an amount box does not require an entry, leave it blank.

	Finished Goods	fill in the blank b0cce7035feb001_2	fill in the blank b0cce7035feb001_3
	Work in Process	fill in the blank b0cce7035feb001_5	fill in the blank b0cce7035feb001_6

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e.When a job is completed, it is transferred out of work-in-process and add it to finished goods.

f. Determine the balance of the work in process account on January 31.

$fill in the blank 928388000fcc013_1