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Problem 2-130 Quark Spy Equipment manufactures espionage... Quark Spy Equipment manufactures espionage equipment. Quark uses a job-order costing system and applies overhead to jobs on
Problem 2-130 Quark Spy Equipment manufactures espionage... Quark Spy Equipment manufactures espionage equipment. Quark uses a job-order costing system and applies overhead to jobs on the basis of direct labor-hours. For the current year, Quark estimated that it would work 180,000 direct labor-hours and incur S38,520,000 of manufacturing overhead cost. The following summarized information relates to January of the current year. The raw materials purchased include both direct and indirect materials. 2,719,200 Raw materials purchased on account Direct materials requisitioned into production 2,503,600 Indirect materials requisitioned into production 1 90,000 Direct labor cost (15,100 hours $32 per hour) S 483,200 Indirect labor cost (15,900 hours $21 per hour) 333,900 389,800 Depreciation on the factory building 1,822,700 Depreciation on the factory equipment 1 Utilities for the factory 63,800 5,133,700 Cost of jobs finished Cost of jobs sold 4,899,500 7,350,200 Sales (all on account) Required: Prepare joumal entries to record Quark's transactions for the month of January. Do not close out the manufacturing overhead account. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
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