(NO PART 1)

Problem 19-3A Part 2

2. Prepare journal entries to record the events and transactions a through i.

a) Record raw materials purchases on credit

b) Record the requisition of direct and indirect materials

c) Record payment to computer consultant to reprogram factory equipment

d) Record the entry for direct and indirect labor, paid in cash

e) Record the entry to apply overhead to jobs 136, 138, and 139

f) Record the transfer of completed jobs 136, 138, and 139 to finished goods

g1) Record the entry for sales on account for jobs 136 and 138

g2) Record the entry for cost of good sales of jobs 136 and 138

h) Record the factory overhead (depreciation, insurance and property taxes)

i) Record the entry to apply overhead to jobs 137 and 140 (Work In Process)

Problem 19-3A Part 3

Problem 19-3A Part 4

Required Information [The following information applies to the questions displayed below.] Widmer Watercraft's predetermined overhead rate is 200% of direct labor. Information on the company's production activities during May follows. a. Purchased raw materials on credit, $240,000. b. Materials requisitions record use of the following materials for the month. Job 136 Job 137 Job 138 Job 139 Job 140 Total direct materials Indirect materials Total materials used $ 49, eee 32,500 19, 8ee 22,600 7, eee 130,900 21,500 $152, 4ee c. Pald $15,000 cash to a computer consultant to reprogram factory equipment. d. Time tickets record use of the following labor for the month. These wages were paid in cash. Job 136 Job 137 Job 138 Job 139 Job 140 Total direct labor Indirect labor Total $ 12,eee 10, 680 37,900 39,200 3,880 102,7ee 24,000 $126,700 e. Applied overhead to Jobs 136, 138, and 139. 1. Transferred Jobs 136, 138, and 139 to Finished Goods. g. Sold Jobs 136 and 138 on credit at a total price of $525,000. h. The company Incurred the following overhead costs during the month (credit Prepaid Insurance for explred factory Insurance). Depreciation of factory building Depreciation of factory equipment Expired factory insurance Accrued property taxes payable $70,000 36,580 11,888 36,500 I. Applied overhead at month-end to the Work In Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. 3. Post the journal entries for the transactions to the following T-accounts, each of which started the month with a zero balance. Raw Materials Inventory Work in Process Inventory End.bal. 0 End.bal. Factory Overhead Finished Goods Inventory End bal. End.bal. 0 Cost of Goods Sold End.bal. 0 4. Prepare a report showing the total cost of each Job in process and prove that the sum of their costs equals the Work In Process Inventory account balance. Prepare similar reports for Finished Goods Inventory and cost of Goods Sold. Report of Job Costs Work in Process Inventory Balance Finished Goods Inventory Balance Cost of Goods Sold Balance $