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	$19,000
Polyester filling	5,700
Lumber	42,600
Glue	1,800

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

Fabric	$94,200
Polyester filling	130,900
Lumber	258,100
Glue	8,900

Materials were requisitioned to individual jobs as follows:

	Fabric		Polyester Filling		Lumber		Glue		Total
Job 601	$34,900		$44,000		$117,600				$196,500
Job 602	26,900		47,800		103,000				177,700
Job 603	24,800		32,500		57,200				114,500
Factory overhead-indirect materials							$4,500		4,500
Total	$86,600		$124,300		$277,800		$4,500		$493,200

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	$	$	$	$