prepare journal entry worksheet
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, $220,000. 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 $ 49,500 34,000 20,000 22,800 7,200 133,500 20,000 $153,500 c. Paid $15,500 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. 4 Job 136 Job 137 Job 138 Job 139 Job 140 Total direct labor Indirect labor Total $ 12,300 10,700 37,500 39,400 3,400 103,300 24,500 $127,800 e. Applied overhead to Jobs 136, 138, and 139. f. Transferred Jobs 136, 138, and 139 to Finished Goods. g. Sold Jobs 136 and 138 on credit at a total price of $545,000. h. The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance) Depreciation of factory building Depreciation of factory equipment $68,500 37,000 Depreciation of factory building Depreciation of factory equipment Expired factory insurance Accrued property taxes payable $68,500 37,000 10,000 37,000 4 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. Required: 1. Prepare a job cost sheet for each job worked on during the month. Materials Labor Overhead Total cost Job No. 136 Job No. 137 Job No. 138 Job No. 139 Job No. 140 $ 50,000 $ 335,000 $ 19,400 $ 22,800 $ 6,600 12,200 10,500 37,700 39,200 3,400 24,400 21,000 75,400 78,400 6,800 $ 86,600 $ 366,500 $ 132,500 $ 140,400 $ 16,800 Required information Journal entry worksheet 1 2 3 3 4 5 6 7 8 9 10 Record raw material purchases on credit. Note: Enter debits before credits. Transaction General Journal Debit Credit a 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 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 0 Balance Finished Goods Inventory 0 Balance Cost of Goods Sold Balance $