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Purl of Great Price Company a Maria Young is the sole stockholder of Puri of Great Price Company (POCP Company), which produces high-end knitted sweaters

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Purl of Great Price Company a Maria Young is the sole stockholder of Puri of Great Price Company (POCP Company), which produces high-end knitted sweaters and sweater vests for sale to rotal outlets. The company Started in January of the curent year, and employa three knitters (each of whom work 40 hours per work) and one office managerunitting 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 knitter's time being involved in hand writing and placing together the garments. The company leo has a packaging machine used to wrap the garments in plastic For shipping, which is operated by the office manageranining supervisor approximatey 5 hours per work. The killing machines were purchased on January 1 ot the current year, and cost $2,400 ouch, weh an antiopatod utolul 10 of 10 years and no salvage value. The packaging machine was purchased on the same date and cost $4,800, win the same anticipated useful to and salvage value. Required: Review the data in the Pastetermined Factory Omtrent. Batu panel and compute the procedemend tactory overload one tor POUP Company 2. On December 10, POCP Company recombes an order for 200 water vores and assigns Job 83 to the order. Hovlow the Materials legusloo panel A Joumaine are the entry to record the addition of the materials to Work in Process On the Job Coat Sheets panet, add the materials to the Job Cost Sheet for J0063 5. On December 15, wow the source documents on the Time Tickets panel Jourmalize the entry to record the addition of direct labor to Work in Process for the period December 1 through December 15. Purl of Great Price Company 3. On December 15, review the source documents on the Time Tickets panol. A Joumalize the entry to record the addition of direct labor to Work in Process for the period December through December 15 B. Joumalze the entry to record the addition 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 labor and factory overhead costs to the Job Cost Shoot 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. Journalize the entry to move the associated costs to the Finished Goods nocount 5. On December 22, 75 of the 100 sweaters from Job 62 are sold on account for St25 each. Journalize the following transactions." A. The entry to record the sale B. 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 kriters, review the source documents on the Time Tickets panel. A. Joumalize the entry to record the addition of direct labor to Work in Process for the period December 16 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 Shoot for Job 83 for the period December 16 through December 31. 7. On December 31. journalize the following transactions. Note that expenses (8). (C), and (D) were paid in cash A One month's depreciation on equipment Purt of Great Price Company B. Journauze the entry to record the action of factory overhead to work in process for the penoa Decomber 16 tougn 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 expenses (8). (C) and (D) were paid in cash, A One month's depreciation on equipment B. One month's payroil for all employees C One month's rent of $1,500 D. One month's utiles 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 Materials B. Work in Process Finished Goods D. Factory Overhead E Cost of Goods Sold *Refer to the Chart of Accounts for exact wording of account les Chart of Accounts CHART OF ACCOUNTS POGP Company General Ledger ASSETS REVENUE 110 Cash 410 Sales EXPENSES 112 Accounts Receivable 117 Supplies 118 Materials 119 Work in Process 120 Finished Goods 125 Equipment 126 Accumulated Depreciation Equipment 510 Cost of Goods Sold 520 Factory Overhead 525 Wages Expense Chart of Accounts 118 Materials 119 Work in Process 120 Finished Goods 125 Equipment 126 Accumulated Depreciation Equipment 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 hart of Accounts Nov. 30 Trial Balance POGP Company UNADJUSTED TRIAL BALANCE November 30, 20Y8 ACCOUNT TITLE DEBIT CREDIT 1 Cash 20,000.00 2 Accounts Receivable 3 Supplies 1,000,00 200,00 5,000.00 4 Materials Work in Process 5,404.00 12,000.00 825.00 $ Equipment 7 Accumulated Depreciation-Equipment * Accounts Payable 150.00 10,000.00 Common Stock 12,000.00 825.00 150,00 6 Equipment 7 Accumulated Depreciation Equipment Accounts Payable 9 Common Stock 10 Retained Earnings 11 Dividends 12 Sales 10,000.00 12,000.00 18,096,00 307,500.00 15 Cost of Goods Sold 255,040,00 15.00 14 Factory Overhead 15 Wages Expense 13,750.00 330,490.00 330,490.00 16 Totals 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/Criting Supervisor wages Estimated office sites Estimated factory utilities Estimated factory rent $1,200.00 $30,000.00 $3,000.00 $4,800.00 $18,000.00 Activity Base Data Estimated number of DLH for the your 6.250 $3,000.00 Estimated office utilities Estimated factory utilities Estimated factory rent $4,800.00 $18,000.00 Activity Base Data Estimated number of DLH for the your Estimated number of MH for the year 6.250 4375 Calculate the predetermined factory overhead rate for the current year. It required, round your answers to the nearest cont 59.12 per DLH redetermined Factory Overhead Rate Materials Requisition Materials Requisition Date: Dec. 10 Reg. No. 12255 Job No. 83 Description Qty. Issued Hourly Rate Cost Yarn type B 700 skeins $5.00 $3,500 Total issued $3,500 Ca Time Tickets Time Ticket No. 1255 Employee Name: Susan Blake Work Description: Knitting/piecing Dates Job No. Hours Worked Hourly Rate Cost 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 Time Ticket No. 2274 Employee Name: Josh Porter aterials Requisition Time Tickets Time Ticket No. 2274 Employee Name: Josh Porter Work Description: Knitting/piecing Dates Job No. Hours Worked Hourly Rate Cost 12/01-12/15 62 75 $15.00 $1,125.00 83 88 $15.00 12/16-12/31 $1,320.00 Total Cost $2,445.00 Time Ticket No. 3923 Employee Name: Mary Jones Work Description: Knitting/piecing Time Ticket No. 3923 Employee Name: Mary Jones Work Description: Knitting/piecing Dates Job No. Hours Worked Hourly Rate Cost 12/01-12/15 62 60 $15.00 $900.00 12/16-12/31 83 109 $15.00 $1,635.00 Total Cost $2,535.00 Job Cost Sheets Add the amounts in requirements 2/8), 3(C) and 6[C) to the appropriate areas of the following job cost sheets. there is no amount or an amount is zero, enter "o". It required, round your If answers to the nearest cont Job 62 100 units Sweaters Direct Materials Direct Labor Factory Overhead Total Job Cost Balance Dec. 1 $5,000 $300 5104 55,404 Dec. 15 Total Cost 0 Unit Cost Job 83 200 units Sweater vests Direct Materials Direct Labor Factory Overhead Total Job Cost $0 $0 $ $0 $0 Balance Dec 1 Dec 10 Dec 31 Total Cost Journal Joumalze the entries in requirements 2-8. Refer to the Chart of Accounts for exact wording of account bies PAGE 15 ACCOUNTING EQUATION PO JOURNAL LILITIES CREDIT ASSETS TQUITY DEBIT POSTER DATE DESCRIPTION Ad an 2 Work in Process Materials Work in Process Wages Payable Work in Process Factory Overhead D Finished Goods Work in Process Accounts Receivable Journal 10 Sales 11 13 1 34 15 16 Cost of Goods Sold Finished Goods Work in Process Wages Payable Work in Process Factory Overhead Factory Overhead Wages Expense Wages Payable Cash Accumulated Depreciation Equipment Cost of Goods Sold 18 19 B 20 D 23 TO und Final Question What are the balances in the following accounts as of December 31? If an amount is zero, enter "O". 15 S 16 Materials Work in Process Finished Goods Factory Overhead Cost of Goods Sold $ 17 16 19 20 21

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