Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Prepare journal entries of the following transactions of Incek Manufacturing Company according to choice 7/A in the Uniform Accounting System. 1. Company purchased materials
Prepare journal entries of the following transactions of Incek Manufacturing Company according to choice 7/A in the Uniform Accounting System. 1. Company purchased materials for t295,000 (18% VAT included) on account. 2. Used raw materials costing t150,000, factory supplies costing +30,000 and administrative office supplies costing 620,000. 3. Accrued wages for factory workers is t120,000 (t100,000 for the time spent in production, t20,000 for side work like area cleaning, machine maintenance, etc.). Net amount of wages after deduction of t22,000 for taxes and 630,000 for social security is recorded in the workers' accounts to be paid on the first day of the next month. 4. Manufacturing costs are applied to products produced. 5. Calculated cost of products completed is +270,000. 6. Company sold finished products to a wholesaler for t413,000 cash (18% VAT included). 7. Calculated cost of products sold is t300,000.
Step by Step Solution
★★★★★
3.52 Rating (176 Votes )
There are 3 Steps involved in it
Step: 1
Journal entries These entries are made to enter transactions of a com...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started