Question
Problem 19-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3 [The following information applies to the questions displayed below.]
Problem 19-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3
[The following information applies to the questions displayed below.] Widmer Watercrafts predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the companys production activities during May 2017 follows.
Purchased raw materials on credit, $220,000.
Materials requisitions record use of the following materials for the month.
Job 136 | $50,000 |
Job 137 | 33,500 |
Job 138 | 19,400 |
Job 139 | 22,800 |
Job 140 | 6,600 |
Total direct materials | 132,300 |
Indirect materials | 20,500 |
Total materials used | $152,800 |
Paid $15,500 cash to a computer consultant to reprogram factory equipment.
Time tickets record use of the following labor for the month. These wages were paid in cash.
Job 136 | $12,200 |
Job 137 | 10,500 |
Job 138 | 37,700 |
Job 139 | 39,200 |
Job 140 | 3,400 |
Total direct labor | 103,000 |
Indirect labor | 25,500 |
Total | $128,500 |
Applied overhead to Jobs 136, 138, and 139.
Transferred Jobs 136, 138, and 139 to Finished Goods.
Sold Jobs 136 and 138 on credit at a total price of $525,000.
The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance).
Depreciation of factory building | $69,500 |
Depreciation of factory equipment | 37,000 |
Expired factory insurance | 11,000 |
Accrued property taxes payable | 35,000 |
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.
rev: 02_01_2017_QC_CS-77139
Problem 19-3A Part 1
Required: 1. Prepare a job cost sheet for each job worked on during the month.
Problem 19-3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3
[The following information applies to the questions displayed below.] Widmer Watercrafts predetermined overhead rate for the year 2017 is 200% of direct labor. Information on the companys production activities during May 2017 follows.
Purchased raw materials on credit, $220,000.
Materials requisitions record use of the following materials for the month.
Job 136 | $50,000 |
Job 137 | 33,500 |
Job 138 | 19,400 |
Job 139 | 22,800 |
Job 140 | 6,600 |
Total direct materials | 132,300 |
Indirect materials | 20,500 |
Total materials used | $152,800 |
Paid $15,500 cash to a computer consultant to reprogram factory equipment.
Time tickets record use of the following labor for the month. These wages were paid in cash.
Job 136 | $12,200 |
Job 137 | 10,500 |
Job 138 | 37,700 |
Job 139 | 39,200 |
Job 140 | 3,400 |
Total direct labor | 103,000 |
Indirect labor | 25,500 |
Total | $128,500 |
Applied overhead to Jobs 136, 138, and 139.
Transferred Jobs 136, 138, and 139 to Finished Goods.
Sold Jobs 136 and 138 on credit at a total price of $525,000.
The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance).
Depreciation of factory building | $69,500 |
Depreciation of factory equipment | 37,000 |
Expired factory insurance | 11,000 |
Accrued property taxes payable | 35,000 |
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.
rev: 02_01_2017_QC_CS-77139
Problem 19-3A Part 2
2. Prepare journal entries to record the events and transactions a through i.
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