Journal Entries

a. Raw materials were purchased on account, $60,000.

b. Raw materials were requisitioned for use in production, $52,000. $50,000 direct and $2,000 indirect.

c. Accrual of factory wages $60,000; and maintenance workers for the factory $15,000.

d. Accrued factory costs utilities $21,000, equipment rental $16,000 and cable, internet and phone factory costs $3,000.

e. Accrual of property taxes on the factory, $13,000.

f. Expiration of prepaid medical insurance on factory workers, $12,000

g. Depreciation was recorded on the factory equipment in the amount $18,000

h. Application of MFH OH 15,500 Machine hrs. incurred -> Show calculation

i. Accrued management salaries $21,000 and office staff salaries $9,000

j. Depreciation on office equipment 8,000

k. Advertising for the period accrued in the amount of $40,000.

l. Cable TV, Internet and phone Expense selling $38,000, and G&A was $4,000

m. $158,000 goods completed and transferred to finished goods department.

n1. Sold $500,000 (sales price) on account for goods costing $118,000

n2. Sold $500,000 (Sales price) on account for goods costing $118,000

4b Write off under applied or over applied MFG OH to COGS