Entries for Materials

GenX Furnishings manufactures designer furniture. GenX Furnishings uses a job order cost system. Balances on June 1 from the materials ledger are as follows:

Fabric	$31,700
Polyester filling	9,500
Lumber	71,000
Glue	3,000

The materials purchased during June are summarized from the receiving reports as follows:

Fabric	$157,200
Polyester filling	218,500
Lumber	430,700
Glue	14,900

Materials were requisitioned to individual jobs as follows:

	Fabric		Polyester Filling		Lumber		Glue		Total
Job 601	$59,700		$75,200		$201,200				$336,100
Job 602	46,000		81,800		176,100				303,900
Job 603	42,400		55,500		97,900				195,800
Factory overhead-indirect materials							$7,800		7,800
Total	$148,100		$212,500		$475,200		$7,800		$843,600

The glue is not a significant cost, so it is treated as indirect materials (factory overhead).

a. Journalize the entry to record the purchase of materials in June.

a.	Materials
	Accounts Payable

Feedback

a. Increase materials inventory and a liability for the total of purchases.

b. Journalize the entry to record the requisition of materials in June. If an amount box does not require an entry, leave it blank.

b.	Work in Process
	Factory Overhead
	Materials

Feedback

b. Increase the work in process for direct materials for the Jobs and factory overhead for the indirect materials.

c. Determine the June 30 balances that would be shown in the materials ledger accounts.

	Fabric	Polyester Filling	Lumber	Glue
Balance, June 30	$	$	$	$