Answered step by step
Verified Expert Solution
Question
1 Approved Answer
kindly please help me Question 1 Not yet answered Marked out of 82.00 CGM; journal entries DeeZees makes evening dresses. The following information was gathered
kindly please help me
Question 1 Not yet answered Marked out of 82.00 CGM; journal entries DeeZees makes evening dresses. The following information was gathered from the company records for the year, the first year of company operations. Work in Process Inventory at the end of the year was $15,750. Direct material purchased on account $555,000 Direct material issued to production 447,000 Direct labor payroll accrued 322,500 Indirect labor payroll accrued 93,000 Prepaid factory insurance expired 3,000 Factory utilities paid 21,450 Depreciation on factory equipment recorded 32,550 Factory rent paid 126,000 Sales (all on account) 1,431,000 The company's gross profit rate for the year was 35 percent. a. Compute the cost of goods sold for the year. $ b. What was the total cost of goods manufactured for the year? $ c. What is Finished Goods Inventory at December 31? $ d. If net income was $125,000, what were total selling and administrative expenses for the year? $ e. Prepare journal entries to record the flow of costs for the year, assuming the company uses a perpetual inventory system and a single Manufacturing Overhead Control account and that actual overhead is included in WIP Inventory. Note: Assume all raw material purchases and selling and administrative expenses are on account. Account Debit Credit 1. To purchase direct material on account 2. To issue direct material to production 3. To accrue direct labor payroll 4 To accrue indirect payroll 5. To record expiration of prepaid insurance on factory 6. To pay factory utilities 7. To record depreciation on factory equipment 8. To pay factory rent 9. To assign actual overhead to WIP 10. To transfer completed goods to FG 11. To record S&A expense 12. To record CGS 13. To record sales on accountStep 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