Question
Journal Entries Porter Manufacturing Company uses the perpetual inventory system to account for its manufacturing inventories. The following are Porter's transactions during September 2019: Sept.
Journal Entries Porter Manufacturing Company uses the perpetual inventory system to account for its manufacturing inventories. The following are Porter's transactions during September 2019:
Sept. | 5 | Received material costing $4,500 from a supplier. The material was purchased on account. |
9 | Requisitioned $10,500 of material for use in the factory, consisting of $8,400 of direct material and $2,100 of indirect material. | |
11 | Recorded the factory payroll: $21,000 of direct labor and $3,000 of indirect labor. | |
17 | Incurred various overhead costs totaling $22,500. (Credit Accounts Payable.) | |
20 | Applied $31,500 of manufacturing overhead to the products being manufactured. | |
23 | Completed product costing $25,500 and moved it to the warehouse. | |
26 | Sold goods with a product cost of $6,000 on account for $8,000. |
a. and b. Record the transactions listed above in general journal form, post relevant portions to the four Taccounts set-up below, and balance the four accounts.
In the description below one account has to be chosen for each block.
General Journal | |||
---|---|---|---|
Date | Description | Debit | Credit |
Sept. 5 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 9 | Work in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 11 | Work in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 17 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 20 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 23 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
Sept. 26 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
To record cost of goods sold. | |||
Sept. 26 | AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer |
AnswerAccounts payableAccounts receivableCost of goods soldFinished goods inventoryManufacturing overheadMaterials inventorySalesWages payableWork in process inventory | Answer | Answer | |
To record sale of product. |
For T-accounts, enter transactions in order of occurrence using the first available answer box in the appropriate debit or credit column.
Materials Inventory | |||
---|---|---|---|
Bal. | 8,000 | Answer | |
Answer | Answer | ||
Bal. | Answer | Answer |
Work in Process Inventory | |||
---|---|---|---|
Bal. | 26,000 | Answer | |
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer | ||
Bal. | Answer | Answer |
Finished Goods Inventory | |||
---|---|---|---|
Bal. | 11,000 | Answer | |
Answer | Answer | ||
Bal. | Answer | Answer |
Cost of Goods Sold | |||
---|---|---|---|
Bal. | 32,000 | Answer | |
Answer | Answer | ||
Bal. | Answer | Answer |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started