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Exercise 3-1 Prepare Journal Entries [LO3-1] Larned Corporation recorded the following transactions for the just completed month. a. $76,000 in raw materials were purchased on
Exercise 3-1 Prepare Journal Entries [LO3-1] Larned Corporation recorded the following transactions for the just completed month. a. $76,000 in raw materials were purchased on account. b. $74,000 in raw materials were used in production. Of this amount, $62,000 was for direct materials and the remainder was for indirect materials. c. Total labor wages of $118,500 were paid in cash. Of this amount, $104,600 was for direct labor and the remainder was for indirect labor. d. Depreciation of $191,000 was incurred on factory equipment. Required: Record the above transactions in journal entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete but not entirely correct. No Transaction 1 a. Raw materials Accounts payable 2 b. Work in process Manufacturing overhead Raw materials General Journal Debit Credit 76,000 76,000 62,000 12,000 74,000 3 C. Work in process 100,600 Manufacturing overhead 19,900 Exercise 3-1 Prepare Journal Entries [LO3-1] Larned Corporation recorded the following transactions for the just completed month. a. $76,000 in raw materials were purchased on account. b. $74,000 in raw materials were used in production. Of this amount, $62,000 was for direct materials and the remainder was for indirect materials. c. Total labor wages of $118,500 were paid in cash. Of this amount, $104,600 was for direct labor and the remainder was for indirect labor. d. Depreciation of $191,000 was incurred on factory equipment. Required: Record the above transactions in journal entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete but not entirely correct. No Transaction 1 a. Raw materials Accounts payable 2 b. Work in process Manufacturing overhead Raw materials General Journal Debit Credit 76,000 76,000 62,000 12,000 74,000 3 C. Work in process 100,600 Manufacturing overhead 19,900
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