Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Manufacturing Overhead Selling, General, and Administrative Expenses Beg. Bal. Beg. Bal. End. Bal. End. Bal. Sales Revenue Other Accounts Beg. Bal. (Cash, Payables, etc.) Beg.

image text in transcribedimage text in transcribed

Manufacturing Overhead Selling, General, and Administrative Expenses Beg. Bal. Beg. Bal. End. Bal. End. Bal. Sales Revenue Other Accounts Beg. Bal. (Cash, Payables, etc.) Beg. Bal End. Bal End. Bal. 0 Christopher's Custom Cabinet Company uses a job order cost system with overhead applied as a percentage of direct labor costs. Inventory balances at the beginning of 2016 follow Raw Materials Invenlory Work in Process Inventory Finished Gocds Inventory $15,900 5,600 20,700 The following transactions occurred during January: (a) Purchased materials on account for $28,000 (b) Issued materials to production totaling S21,400, 90 percent of which was traced to specific jobs and the remainder of which was treated as indirect materials. (c) Payroll costs totaling S17,500 were recorded as follows: $12,000 for assembly workers 1,200 for factory supervision 2,700 for administrative personnel 1,600 for sales commissions (d) Recorded depreciation: $4,600 for machines, $700 for the copier used in the administrative office (e) Recorded $1,700 of expired insurance. Forty percent was insurance on the manufacturing facllity, with the remainder classlfied as an administrative expense. () Paid $4,800 in other factory costs in cash. (g) Applied manufacturing overhead at a rate of 200 percent of direct labor cost. (h) Completed all jobs but one the job cost sheet for this job shows $2,500 for direct materials, $2,400 for direct labor, and $4,800 for applied overhead. 0) Sold jobs costing S51,200. The revenue eamed on these jobs was $66,560. Required: 1. Set up T-acoounts, record the beginning balances, post the January transactions, and compute the final balace for the following accounts: (Post all amounts separately. Do not combine/add any dollar amounts when posting to the t-accounts.) a. Raw Materials Inventory b. Work in Process Inventory. c. Finished Goods Inventory d. Cost of Goods Sold. e. Selling, General, and Administrative Expenses. f. Sales Revenue. g. Other accounts (Cash, Payables, etc.). Raw Materials Inventory Work in Process Inventory Beg. Bal. Beg. Bal. Erid. Bal End. Bal. FInlshed Goods Inventory Cost of Goods Sold Beg. Bal. Beg. Bal

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting Volume 2

Authors: Thomas Beechy, Joan Conrod, Elizabeth Farrell, Ingrid McLeod-Dick

7th Edition

1259108023, 9781259108020

More Books

Students also viewed these Accounting questions

Question

Identify ways to increase your selfesteem.

Answered: 1 week ago