Panzarella Co.s March 31 inventory of raw materials is $220,000. Raw materials purchases in April are $790,000, and factory payroll cost in April is $727,000. Overhead costs incurred in April are: indirect materials, $125,000; indirect labor, $107,000; factory rent, $61,000; factory utilities, $75,000; and factory equipment depreciation, $79,000. The predetermined overhead rate is 70% of direct labor cost. Job 306 is sold for $1,360,000 cash in April. Costs of the three jobs worked on in April follow.

Job 306 Job 307 Job 308 Balances on March 31 Direct materials $119,000 46,000 32,200 85,000 76,000 53,200 Direct labor Applied overhead Costs during April Direct materials $156,000 133,000 191,000 197,000 304,000 290,000 Direct labor Applied overhead Finished (sold) Finished (unsold) Status on April 30 In process General Journal tab Prepare journal entries to record the transactions of Panzarella Company during the month of April. Job Costs tab Calculate the total cost, and account classification for each job worked on during April Cost of Goods Manufactured tab Prepare a schedule of cost of goods manufactured for Panzarella Company during the month of April Gross Profit tab Calculate the gross profit on the sale of job(s) during April. - Journal entry worksheet Journal entry worksheet 7 5 6 8.... 13 1 2 4 6 7 8.... 13 Record the purchase of materials (on credit). b. Record direct materials used in production. Note: Enter debits before credits. Note: Enter debits before credits. Date Account Title Debit Credit Account Title Date Debit Credit Raw materials inventory 455,000 Apr 30 500 000 Work in process inventory Apr 30 Accounts payable 500,000 Raw materials inventory 455.000 View general journal Record entry Clear entry View general journal Record entry Clear entry Journal entry worksheet Journal entry worksheet 5 7 13 5 7 13 4 8 . d. Record indirect labor paid and assigned to Factory Overhead. Record direct labor paid and assigned to Work in Process Inventory. Note: Enter debits before credits. Note: Enter debits before credits. Debit Date Account Title Credit Date Account Title Debit Credit Apr 30 Apr 30 Record entry Record entry Clear entry View general journal Clear entry View general journal Journal entry worksheet Journal entry worksheet 5 6 8. 13 4 5 6 ..... f1. Record the cost of indirect materials used. e. Record overhead costs applied to Work in Process Inventory Note: Enter debits before credits. Note: Enter debits before credits. Account Title Account Title Date Debit Credit Date Debit Credit Apr 30 Apr 30 Record entry Clear entry View general journal Record entry Clear entry View general journal Journal entry worksheet Journal entry worksheet 5 7 8 13 4 5 > 6 7 13 8 f3. Record the depreciation on factory equipment. f2. Record the cost of factory utilities paid in cash. Note: Enter debits before credits. Note: Enter debits before credits. Date Account Title Debit Credit Account Title Date Debit Credit Apr 30 Apr 30 Record entry Clear entry View general journal Clear entry Record entry View general journal Journal entry worksheet Journal entry worksheet 6 4 7 13 .. 5 6 7 8 10 13 .. f4. Record the cost of factory rent, paid in cash. Jobs 306 and 307 to Finished Goods Inventory. g. Record the transfer Note: Enter debits before credits. Note: Enter debits before credits. Date Account Title Debit Credit Date Credit Account Title Debit Apr 30 Apr 30 Record entry Clear entry View general journal Record entry View general journal Clear entry Journal entry worksheet Journal entry worksheet > 7 8 6 9 10 11 13 8 6 7 10 11 12 13 ... .... h. Record the cost of goods sold for Job 306. Record the revenue from the cash sale of Job 306 Note: Enter debits before credits. Note: Enter debits before credits. Date Account Title Debit Credit Date Account Title Debit Credit Apr 30 Apr 30 View general journal Record entry Clear entry View general journal Record entry Clear entry Journal entry worksheet 1 7 10 11 12 13 j. Record the assignment of any underapplied or overapplied overhead to the Cost of Goods Sold account. (The amount is not material.) Note: Enter debits before credits Date Account Title Debit Credit Apr 30 Record entry Clear entry View general journal