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Problem 2-1A Production costs computed and recorded; reports prepared LO C2, P1, P2, P3, P4 The following information applies to the questions displayed below Marcelino Co's March 31 inventory of raw materials is $88,000 Raw materials purchases in Aprilare $500,000, and factory payroll cost in April is $387.000. Overhead costs incurred in Aprilare: indirect materials, $59.000 indirect labor, $27.000, factory rent. $36.000 factory utilities. $22.000 and factory equipment depreciation, $60,000. The predetermined overhead rate is 50% of direct labor cost Job 306 is sold for $670.000 cash in April. Costs of the three jobs worked on in April follow Job 306 lob 307 306 308 $ 32,000 23,000 11,500 $ 36,000 18,000 9.000 Balances on March 31 Direct materials Direct labor Applied overhead Costs during April Direct materials Direct labor Applled overhead 132,000 104,000 205,000 151,000 $110,000 105,000 Status on April 30 Finished (sold) Finished (unsold) in process Problem 2-1A Part 1 Required: 1. Determine the total of each production cost incurred for April (direct labor, direct materials, and applied overhead), and the total cost assigned to each job (including the balances from March 31). Job 306 Job 307 Job 308 April Total $ From March Direct Materials Direct Labor Applied overhead 32,000 23,000 11,500 36,000 18,000 9.000 68,000 41.000 20,500 132,000 104,000 205,000 151,000 110,000 105,000 447,000 360,000 Beginning goods in process For April Direct Materials Direct Labor Applied overhead Total costs added in April Total costs (April 30) Status on April 30 April 30 cost included in: 236,000 356,000 215,000 807.000 Finished (sold) Finished (unsold) in process Problem 2-1A Part 2 a. Materials purchases (on credit) b. Direct materials used in production c. Direct labor paid and assigned to Work in Process Inventory d. Indirect labor paid and assigned to Factory Overhead e. Overhead costs applied to Work in Process Inventory f. Actual overhead costs incurred, including indirect materials (Factory rent and utilities are paid in cash) g. Transfer of Jobs 306 and 307 to Finished Goods Inventory h. Cost of goods sold for Job 306 i Revenue from the sale of Job 306 1. Assignment of any underapplied or overapplied overhead to the Cost of Goods Sold account (The amount is not material.) 2. Prepare journal entries for the month of April to record the above transactions. View transaction list Journal entry worksheet 3 4 5 6 7 8 ...... 13 Record the entry for Materials purchases (on credit). Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet Record the direct materials used in production Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general Journal View transaction list Journal entry worksheet Record the Direct labor paid and assigned to Work in Process Inventory. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet