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FloorMate Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into yam. The output of the Spinning
FloorMate Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into yam. The output of the Spinning Department is transferred to the Tufting Department, where carpet backing is added at the beginning of the process and the process is completed. On October 1, FloorMate Carpet Company had the following inventories: Finished Goods Work in Process-Spinning Department Work in Process-Tufting Department Materials $8,200 800 2,900 4,800 Departmental accounts are maintained for factory overhead, and both have zero balances on October 1. Manufacturing operations for October are summarized as follows: Oct. Materials purchased on account, $82,700 2 Materials requisitioned for use: Fiber-Spinning Department, $43,800 Carpet backing-Tufting Department, $34,900 Indirect materials-Spinning Department, $3,200 ndirect materials-Tufting Department, $2,800 31 Labor used: Direct labor-Spinning Department, $27,000 Direct labor-Tufting Department, $17,400 Indirect labor-Spinning Department, $11,600 Indirect labor Tufting Department, $11,700 Depreciation charged on fixed assets: Spinning Department, $5,200 31 Tufting Department, $3,100 Expired prepaid factory insurance: Spinning Department, $1,500 Tufting Department, $1,000 Applied factory overhead: Spinning Department, $21,850 Tufting Department, $18,350 Production costs transferred from Spinning Department to Tufting Department, $86,000 Production costs transferred from Tufting Department to Finished Goods, $152,800 Cost of goods sold during the period, $157,900 31 31 31 31 31 Required: . Journalize the entries to record the operations, using the dates provided with the summary of manufacturing operations. Refer to the Chart of Accounts for exact wording of account titles. 2. Compute the October 31 balances of the inventory accounts 3 Compute the October 31 balances of the factory overhead accounts. Chart of Accounts CHART OF ACCOUNTS CHART OF ACCOUNTS FloorMate Carpet Company General Ledger ASSETS REVENUE 110 Cash 121 Accounts Receivable 125 Notes Receivable 126 Interest Receivable 131 Materials 41 Work in Process-Spinning Department 142 Work in Process-Tufting Department 151 Factory Overhead-Spinning Department 52 Factory Overhead-Tufting Department 161 Finished Goods 171 Supplies 172 Prepaid Insurance 173 Prepaid Expenses 181 Land 191 Factory 192 Accumulated Depreciation-Factory 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Goods Sold 520 Wages Expense 531 Selling Expenses 532 Insurance Expense 533 Utilities Expense 534 Supplies Expense 540 Administrative Expenses 561 Depreciation Expense-Factory 590 Miscellaneous Expense 710 Interest Expense LIABILITIES 210 Accounts Payable 221 Utilities Payable 231 Notes Payable 236 Interest Payable 251 Wages Payable EQUITY 311 Common Stock 40 Retained Earnings 351 Dividends 390 Income Summary Journal Shaded cells have feedback. 1. Journalize the entries to record the operations, using the dates provided with the summary of manufacturing operations. Refer to the Chart of Accounts for exact wording of account titles. Question not attempted. PAGE 10 JOURNAL Score: 0/346 DESCRIPTION POST. REF CREDIT 23 24 25 26 27 28 Points: 0 65 Feedback Final Questions Shaded cells have feedback. 2. Compute the October 31 balances of the inventory accounts. Materials DebitV Work in Process: Spinning Department Tufting Depatment S Debit Debit Debit Finished Goods 2 Compute the October 31 balances of the inventory accounts Materials Debit Work in Process: Debit Debit Debit Spinning Department Tufting Department S Finished Goods Points: 4/8 Feedback 3. Compute the October 31 balances of the factory overhead accounts. Factory Overhead: Credit Debit Spinning Department Tufting Department S Points: 2/4 Feedback
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