Calculator Purl of Great Price Compte Maria Young is the sole stockholder of Puri of Group 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 year, and employs three knitters (each of whom work 40 hours per week) and one office manageriniting supervisor (this employee works 20 hours per week as office manager, and 20 hours per week as knitting supervisor). Al wages are paid in cash at the end of each month. Each knitter has a knitting machine that is used about 2/3 of the knitter's time, the rest of the kriter's time being involved in hand knitting and piecing together the garments. The company also has a packaging machine used to wrap the garments in plastic for shipping, which is operated by the office managerinting supervisor approximately 6 hours per week, The knitting machines were purchased on January 1 of the current year, and cost $2,400 each, with an anticipated unetut the of 10 years and no salvage value. The packaging machine was purchased on the same date and cost $4,800, with the same anticipated useful to and salvage value Required: 1. Review the data in the Pressetermined Factory Oherd Bate paral, and compute the procutomned factory oprhand rate for POGP Company 2. On December 10, POCP Company receives an order for 200 swouter vests and assigns Job 83 to the order review the Materials. Begin panel A. Journalize the entry to record the adeftion of the materials to Work in Process B. On the Job Cost Sheets panel, add the materials to the Job Cost Sheet for Job 83. 3. On December 15, review the source documents on the Time Tickets panel A Journalize the entry to record the addition of direct labor to Work in Process for the period December 1 through December 16.0 B. Journalize the entry to record the addition of factory overhead to Work in Process for the period December through December 15. C. On the Job Cost Sheets panel, add the appropriate amount of direct labor and factory overhead costs to the Job Cost Sheet for Job 62 for the period December 1 through December 15. 4. On December 21, Job 62 is completed. Review the Job Cost Sheets panel and your journal entries. Journaize the entry to move the associated costs to the Finished Goods account." One.Ts panel, de meest WJODCO/ SJ008 3. On December 15 review the source auments on the Time Tickets panel A. Journalize the entry to record the addition of Gract labor to Work in Process for the period December 1 through December 15. B. Journalize the entry to record the adortion of factory overhead to Work in Process for the period December 1 through December 15. C. On the Job Cost Sheets panel, add the appropriate amount of direct inber and factory overhead costs to the Job Cos Shoot for Job 62 for the period December 1 through December 15. 4. On December 21, Job 62 is completed. Revlow the Job Cost Sheets panel and your journal entries. Journalize the entry to move the associated costs to the Finished Goods account." 5. On December 22. 75 of the 100 sweaters from Job 62 are sold on account for $125 each. Joumatuse the following transactions." A. The entry to record the sale. 8. The entry to record the transfer of costs from Finished Goods to Cost of Goods Sold 6. On December 31, the last work day of the year for the knitters, review the source documents on the Time Ticker panel A. Journalize the entry to record the addition of direct labor to Work in Process for the period December 76 through December 31, B. Journalize the entry to record the addition of factory overhead to Work in Process for the period December 16 through December 31, c. On the Job Cost Sheets panel, add the appropriate amount of direct labor and factory overhead costs to the Job Cost Sheet for Job 83 for the period December 16 through December 31. 7. On December 31. joumalize the following transactions. Note that expensos (B). (C), and () were paid in cash. A. One month's depreciation on equipment 8. One month's payroll for all employees C One montirant of $1.500 D. One month's Wres of $1,275 8. On December 31, prepare the journal entry to dispose of the balance in the Factory Overhead account 9. What are the balances in the following accounts as of December 31 A. Materiais 8. On December 31, prepare the joumal nuty ospose of the balance in the Factory Overhead account 9. What are the balances in the following accounts as of December 317 A Materials B. Work in Process C Finished Goods D. Factory Overhead E. Cost of Goods Sold Refer to the Chart of Accounts for exact wording of accounts Chart of Accounts CHART OF ACCOUNTS POOP Company General Ledger REVENUE 410 Sales ASSETS 110 Cash 112 Accounts Receivable 117 Supplies 118 Materials EXPENSES 510 Cost of Goods Sold 520 Factory Overhead 525 Weges Expanse 119 Work in Process 120 Finished Goods All work saved. Email Instructor Save and Submt Test for Grading CHART OF ACCOUNTS POGP Company General Ledger ASSETS REVENUE 410 Sales 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 Calculator POGP Company UNADJUSTED TRIAL BALANCE November 30, 2048 ACCOUNT TITLE DEBIT CREDIT 1 Cash 20,000.00 2 Accounts Receivable 1,000.00 Supplies 200.00 4 Materials 5,000.00 5 Work in Proces 5,404.00 12,000.00 6 Equipment Accumulated Depreciation Equipment Accounts Payable I 825.00 150.00 9 Common Stock 10,000.00 10 Retained Earnings 11 Dividends 12,000.00 18,096.00 12 Sales 307,500.00 13 Cost of Goods Sold 255,040.00 14 Factory Overhead 15.00 15 Wages Expense 13.750.00 16 Totals 330,490.00 330,490.00 All work saved Email Instructor Sa DO Predetermined Factory Overhead Rate Since the company is more reliant on labor than machines, Maria decides to use direct labor hours (DLH) as the activity base for her predetermined factory overhead rato, rather than machine hours (MH). Estimated Selected Amounts for the Year Estimated depreciation on equipment Estimated total Office Manager Knitting Supervisor wages Estimated office is Estimated factory uilities Estimated factory rent $1,200.00 $30,000.00 $3,000.00 $4,800.00 $18,000.00 I Activity Base Data Estimated number of DLH for the year Estimated number of MH for the year 6,250 4,375 Compute the predetermined factory overhead rate for the current year. If required, round your answers to the nearest cert. $9.12 per DLM Materials Requisition Emal instructor Save and Submit Test for Grading 59.12 per DLH Materials Requisition Materials Requisition Date: Dec. 10 Reg. No. 12255 Job No. 89 Description Qty. Issued Unit Price Amount Yarn type B 700 skins $5.00 $3.500 Total issued $3,500 Time Tickets Time Ticket No. 1255 Name: Susan Blake Work Description: Knitting placing Dates Job No. Hours Worked Unit Price Amount 12/01-12/15 02 65 $15.00 $97500 12/16-12/31 B3 103 $15.00 $1.545.00 $2.520.00 Total Cost Email Instructor Save and Exit Submit Test for Grading All work saved Time Tickets Time Ticket No. 1255 Name: Susan Blake Work Description: Knitting/piecing Dates Job No. Hours Worked Unit Price Amount 12/01-12/15 62 65 $15.00 $975.00 12/16-12/31 83 103 $15.00 $1,545.00 Total Cost $2,520.00 I
