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Ottoson Fencing Inc. uses job order costing. The following data summarize the operations related to production for December, the first month of operations: a .

Ottoson Fencing Inc. uses job order costing. The following data summarize the operations related to production for December, the first month of operations:
a. Materials purchased on account, $50,000.
b. Materials requisitioned and factory labor used:
Job
Materials
Factory Labor
301 $1,850 $2,500
3023,1507,220
3032,2005,350
3041,9002,300
3054,2306,225
3061,7702,900
For general factory use 1,2005,000
c. Factory overhead costs incurred on account, $1,800.
d. Depreciation of machinery and equipment, $2,700.
e. The factory overhead rate is $40 per machine hour. Machine hours used:
Job Machine Hours
30130
30260
30341
30463
30570
30636
Total 300
f. Jobs completed: 301,302,303, and 305.
g. Jobs were shipped and customers were billed as follows: Job 301, $9,000; Job 302, $16,150; Job 303, $12,800.
Required:
1. Journalize the entries to record the summarized operations. Record each item (items a-f) as an individual entry on December 31. Record item g as 2 entries.
2. Post the appropriate entries to T accounts for Work in Process and Finished Goods, using the identifying letters as transaction codes. Insert memo account balances as of the end of the month.
3. Prepare a schedule of unfinished jobs to support the balance in the work in process account.
4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account.

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