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Final inspection of the pulleys revealed that 368 were defective. In correcting the defects, an additional $1,840 of cost was incurred ( $400 for direct
Final inspection of the pulleys revealed that 368 were defective. In correcting the defects, an additional $1,840 of cost was incurred ( $400 for direct material and $1,440 for direct labor). After the defects were corrected, the pulleys were included with the other good units and shipped to the customer. Assume no entry has been made for the $1,840 of rework costs. Note: In answering the following questions, list any multiple debits or credits in alphabetical order. a. Journalize the entry to record incurrence of the rework costs if San Angelo Corp.'s predetermined overhead rate includes normal rework costs. b. Journalize the entry to record incurrence of the rework costs if rework is normal but specific to this job. c. Journalize the entry to record incurrence of the rework costs, assuming that all rework is abnormal
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