Mastery Problem: Job Order Costing Purt of Great Price Company Chart of Accounts Nov. 30 Trial Balance Predetermined Factory Overhead Rate Materials Requisition Time Tickets Job C Purt of Great Price Company Maria Young is the sole stockholder of Purl of Great Price Company (POGP Company), which produces high-end knitted sweaters and sweater vests for sale to retail outlets. The company started in January of the current you, and employee reach of whom wo hours per week and one office managerinting supervisor his employee works 20 hours office and 20 hours per week as knitting supervisor). Al wages are paid in cash at the end of each month Each kriter has a knitting machine that is used about 20 of the inter's time, the rest of the inter's time being involved in hand knitting and placing together the garments. The company also has a packaging machine wood to wrap the garments in plastic for shipping, which is operated by the office manag i ng supervisor aproximately 5 hours per week ite of 10 years and no salvage value. The packaging machine was purchased on the The krining machines were purchased on January 1 of the current year, and cost $2.400 each, with an anticipated use same date and cost $4,000, with the same articles and salvage value Required 1. Review the data in the r e actory Owed Relepanel and compute the predetermined factory overhead rate for POGP Company 2. On December 10, POOP Company receives an order for 200 metres and assigne Job 3 to the order Review the w a panel A Joumate the entry to record the addition of the materials to Work in Process B. On the cont Sheets parel, add the material to the job Cost Sheet for Job 83 3. On December 18, review the source documents on the Time Token panel A Jumate and to record the action of direct labor to Work in Process for the period December through December 18 3. J e to record the son of factory overhead to Work in Process for the period December December 18 On the Sheets pares the appropriate amount of direct labor and factory overhead costo e out ho the period December through December 18 4. On December Job compted Review the Job Coat Sheets panel and your journal entries Journamenty to move the sociated costs to the shed Goode account On December 27 th 100 from Job are on account for $125 each Jumate the blowing r acons A The entry to record the They to record the r e f romhed Goods to cost of Goods Solid On December 31, the work day of the year for the serve the source documents on the Time Tickets panel A Jumathe r ed the action of director to Work in Process for the period December 18 tough December 31 3. J a h o d the factory wed to Work in Process for the period December 18 though December 31. c. On the other amount of director and factory rehead costs to the Cowl Sheet for herd December 18 through December 31 on December ng tractions. No expers (Blandre pins for One money One o f from .500 c d Good Factory Chart of Accounts CHART OF ACCOUNTS POGP Company General Ledger REVENUE 410 Sales ASSETS 110 Cash 112 Accounts Receivable 117 Supplies 118 Materials 119 Work in Process 120 Finished Goods 125 Equipment 126 Accumulated Depreciation-Equipment EXPENSES 510 Cost of Goods Sold 520 Factory Overhead 525 Wages Expense LIABILITIES 210 Accounts Payable 211 Wages Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends 313 Income Summary Nov. 30 Trial Balance . mm POGP Company UNADJUSTED TRIAL BALANCE November 30, 20Y8 ACCOUNT TITLE CREDIT DEBIT 20,000.00 1 Cash 2 Accounts Receivable 1,000.00 3 Supplies 200.00 6 4 Materials 5,000.00 TES 5,404.00 12,000.00 5 Work in Process 6 Equipment Accumulated Depreciation-Equipment Accounts Payable 9 Common Stock 825.00 150.00 10,000.00 12,000.00 10 Retained Earnings 11 Dividends 18,096.00 12 Sales 307,500.00 13 Cost of Goods Sold 255,040.00 14 Factory Overhead 15 Wages Expense 15.00 16 Totals 13,750.00 330,490.00 330,490.00 Materials Requisition Materials Requisition Date: Dec. 10 Req. No. 12255 Job No. 83 Description Qty. Issued Hourly Rate Cost Yarn type B 700 skeins $5.00 $3,500 Total issued $3,500 Time Tickets Time Ticket No. 1255 Employee Name: Susan Blake Work Description: Knitting/piecing Dates Job No. Hours Worked Hourly Rate Cost $15.00 $975.00 12/01-12/15 12/16-12/31 83 103 $15.00 $1,545.00 Total Cost $2,520.00 Time Ticket Employee Name: Josh Porter Work Description: Knitting/piecing Dates Job No. Hours Worked 12/01-12/15 Hourly Rate Cost $15.00 $1,125.00 $15.00 $1,320.00 Total Cost $2,445.00 12/16-12/31 88 Time Ticket No. 3923 Employee Name: Mary Jones Work Description: Knitting/piecing Dates Job No. Hours Worked 12/01-12/15 Hourly Rate Cost $15.00 $900.00 $15.00 $1.635.00 12/16-12/31 109 Total Cost $2.535.00 Check My Work Job Cost Sheets Shaded cells have feec Add the amounts in requirements 2(B), 3(C), and 6(C) to the appropriate areas of the following job cost sheets. If there is no amount or a amount is zero, enter "o". If required, round your answers to the nearest cent. Job 62 100 units: Sweaters Direct Materials Direct Labor Factory Overhead Total Job Cost Balance Dec. 1 $5,000 $300 $104 $5,404 Dec. 15 Total Cost Unit Cost Points: 079 Feedback Check My Work Recall that the factory overhead is applied for this company using direct labor hours (DLH). Job 83 200 units: Sweater vests Direct Materials Direct Labor Factory Overhead Total Job Cost Balance Dec. 1 SO $0 Dec. 10 Dec. 31 Total Cost Journal Journalize the entries in requirements 2-8 Refer to the Chart of Accounts for exact wording of account Question not attempted PAGE 15 JOURNAL Score: 0/287 CREDIT ACCOUNTING EQUATION ASSETS ALTES EQUITY POST. REF. DEBIT Final Question What are the balances in the following accounts as of December 31? If an amount is zero, enter "O". Materials Work in Process Finished Goods Factory Overhead Cost of Goods Sold Feedback Mastery Problem: Job Order Costing Purt of Great Price Company Chart of Accounts Nov. 30 Trial Balance Predetermined Factory Overhead Rate Materials Requisition Time Tickets Job C Purt of Great Price Company Maria Young is the sole stockholder of Purl of Great Price Company (POGP Company), which produces high-end knitted sweaters and sweater vests for sale to retail outlets. The company started in January of the current you, and employee reach of whom wo hours per week and one office managerinting supervisor his employee works 20 hours office and 20 hours per week as knitting supervisor). Al wages are paid in cash at the end of each month Each kriter has a knitting machine that is used about 20 of the inter's time, the rest of the inter's time being involved in hand knitting and placing together the garments. The company also has a packaging machine wood to wrap the garments in plastic for shipping, which is operated by the office manag i ng supervisor aproximately 5 hours per week ite of 10 years and no salvage value. The packaging machine was purchased on the The krining machines were purchased on January 1 of the current year, and cost $2.400 each, with an anticipated use same date and cost $4,000, with the same articles and salvage value Required 1. Review the data in the r e actory Owed Relepanel and compute the predetermined factory overhead rate for POGP Company 2. On December 10, POOP Company receives an order for 200 metres and assigne Job 3 to the order Review the w a panel A Joumate the entry to record the addition of the materials to Work in Process B. On the cont Sheets parel, add the material to the job Cost Sheet for Job 83 3. On December 18, review the source documents on the Time Token panel A Jumate and to record the action of direct labor to Work in Process for the period December through December 18 3. J e to record the son of factory overhead to Work in Process for the period December December 18 On the Sheets pares the appropriate amount of direct labor and factory overhead costo e out ho the period December through December 18 4. On December Job compted Review the Job Coat Sheets panel and your journal entries Journamenty to move the sociated costs to the shed Goode account On December 27 th 100 from Job are on account for $125 each Jumate the blowing r acons A The entry to record the They to record the r e f romhed Goods to cost of Goods Solid On December 31, the work day of the year for the serve the source documents on the Time Tickets panel A Jumathe r ed the action of director to Work in Process for the period December 18 tough December 31 3. J a h o d the factory wed to Work in Process for the period December 18 though December 31. c. On the other amount of director and factory rehead costs to the Cowl Sheet for herd December 18 through December 31 on December ng tractions. No expers (Blandre pins for One money One o f from .500 c d Good Factory Chart of Accounts CHART OF ACCOUNTS POGP Company General Ledger REVENUE 410 Sales ASSETS 110 Cash 112 Accounts Receivable 117 Supplies 118 Materials 119 Work in Process 120 Finished Goods 125 Equipment 126 Accumulated Depreciation-Equipment EXPENSES 510 Cost of Goods Sold 520 Factory Overhead 525 Wages Expense LIABILITIES 210 Accounts Payable 211 Wages Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends 313 Income Summary Nov. 30 Trial Balance . mm POGP Company UNADJUSTED TRIAL BALANCE November 30, 20Y8 ACCOUNT TITLE CREDIT DEBIT 20,000.00 1 Cash 2 Accounts Receivable 1,000.00 3 Supplies 200.00 6 4 Materials 5,000.00 TES 5,404.00 12,000.00 5 Work in Process 6 Equipment Accumulated Depreciation-Equipment Accounts Payable 9 Common Stock 825.00 150.00 10,000.00 12,000.00 10 Retained Earnings 11 Dividends 18,096.00 12 Sales 307,500.00 13 Cost of Goods Sold 255,040.00 14 Factory Overhead 15 Wages Expense 15.00 16 Totals 13,750.00 330,490.00 330,490.00 Materials Requisition Materials Requisition Date: Dec. 10 Req. No. 12255 Job No. 83 Description Qty. Issued Hourly Rate Cost Yarn type B 700 skeins $5.00 $3,500 Total issued $3,500 Time Tickets Time Ticket No. 1255 Employee Name: Susan Blake Work Description: Knitting/piecing Dates Job No. Hours Worked Hourly Rate Cost $15.00 $975.00 12/01-12/15 12/16-12/31 83 103 $15.00 $1,545.00 Total Cost $2,520.00 Time Ticket Employee Name: Josh Porter Work Description: Knitting/piecing Dates Job No. Hours Worked 12/01-12/15 Hourly Rate Cost $15.00 $1,125.00 $15.00 $1,320.00 Total Cost $2,445.00 12/16-12/31 88 Time Ticket No. 3923 Employee Name: Mary Jones Work Description: Knitting/piecing Dates Job No. Hours Worked 12/01-12/15 Hourly Rate Cost $15.00 $900.00 $15.00 $1.635.00 12/16-12/31 109 Total Cost $2.535.00 Check My Work Job Cost Sheets Shaded cells have feec Add the amounts in requirements 2(B), 3(C), and 6(C) to the appropriate areas of the following job cost sheets. If there is no amount or a amount is zero, enter "o". If required, round your answers to the nearest cent. Job 62 100 units: Sweaters Direct Materials Direct Labor Factory Overhead Total Job Cost Balance Dec. 1 $5,000 $300 $104 $5,404 Dec. 15 Total Cost Unit Cost Points: 079 Feedback Check My Work Recall that the factory overhead is applied for this company using direct labor hours (DLH). Job 83 200 units: Sweater vests Direct Materials Direct Labor Factory Overhead Total Job Cost Balance Dec. 1 SO $0 Dec. 10 Dec. 31 Total Cost Journal Journalize the entries in requirements 2-8 Refer to the Chart of Accounts for exact wording of account Question not attempted PAGE 15 JOURNAL Score: 0/287 CREDIT ACCOUNTING EQUATION ASSETS ALTES EQUITY POST. REF. DEBIT Final Question What are the balances in the following accounts as of December 31? If an amount is zero, enter "O". Materials Work in Process Finished Goods Factory Overhead Cost of Goods Sold Feedback