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help me Forest Components makes aircraft parts. The following transactions occurred in July 1. Purchased $16,920 of materials on account 2. Issued $16,820 in direct
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Forest Components makes aircraft parts. The following transactions occurred in July 1. Purchased $16,920 of materials on account 2. Issued $16,820 in direct materials to the production department 3. Issued $1,260 of supplies from the materials inventory 4. Paid for the materials purchased in transaction (1) using cash. 5. Returned $2190 of the materials issued to production in (2) to the materials inventory 6. Direct labor employees earned $33,000, which was paid in cash 7. Purchased miscellaneous items for the manufacturing plant for $17,390 on account 8. Recognized depreciation on manufacturing plant of $35,700. 9. Applied manufacturing overhead for the month Forest uses normal costing. It applies overhead on the basis of direct labor costs using an annual, predetermined rate. At the beginning of the year, monagement estimated that direct labor costs for the year would be $435.000. Estimated overhead for the year was $395,850 The following balances appeared in the inventory accounts of Forest Components for July Beginning Ending Materials Inventory $12,530 Work-In-Process Inventory 10,538 Finished Goods Inventory $2,640 6,980 Cost of Goods Sold 74,900 Required: 2. Prepare Journal entries to record these transactions b. Prepare T-accounts to show the flow of costs during the period from Materials Inventory through Cost of Goods Sold Journal entry worksheet Issued $16,820 in direct materials to the production department. Note: Enter debits before credits Transaction General Journal Debit Credit 2 Record entry Clear entry View general joumal Journal entry worksheet Returned $2,190 of the materials issued to production in (2) to the materials inventory. Notat Enter debits before credits. Transaction General Journal Debit Credit 5 Record entry Clear entry View general Journal Journal entry worksheet Step by Step Solution
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