Reconcile the balance in Work in Process Inventory with the costs of unfinished jobs.
Costs of unfinished Job: RodgersKossLintonStevens Direct Materials $ + Direct Labor $ + Manufacturing Overhead $ = $ |
Question 1 of 1 -/1 E View Policies Current Attempt in Progress Case Inc. is a construction company specializing in custom patios. The patios are constructed of concrete, brick, fiberglass, and lumber, depending upon customer preference. On June 1, 2020, the general ledger for Case Inc. contains the following data. Raw Materials Inventory Work in Process Inventory $4,500 $5,775 Manufacturing Overhead Applied Manufacturing Overhead Incurred $33.900 $32,400 Subsidiary data for Work in Process Inventory on June 1 are as follows. Job Cost Sheets Customer Job Cost Element Rodgers Stevens Direct materials $700 $900 Direct labor 200 600 Manufacturing overhead 250 750 $1,150 $2,250 Linton $800 700 875 $2,375 During June, raw materials purchased on account were $5,100, and all wages were paid. Additional overhead costs consisted of depreciation on equipment $800 and miscellaneous costs of $400 incurred on account. A summary of materials requisition slips and time tickets for June shows the following. Customer Job Time Tickets $800 800 Rodgers Koss Stevens Linton Rodgers Materials Requisition Slips $900 1.800 600 1,400 400 300 1,200 400 General use 5,100 1,700 $6,800 3,500 1,300 $4,800 Overhead was charged to jobs at the same rate of $1.25 per dollar of direct labor cost. The patios for customers Rodgers, Stevens, and Linton were completed during June and sold for a total of $17,300. Each customer paid in full. Journalize the June transactions: (1) for purchase of raw materials, factory labor costs incurred, and manufacturing overhead costs incurred; (2) assignment of direct materials, labor, and overhead to production; and (3) completion of jobs and sale of goods. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit (1) Raw Materials Inventory Accounts Payable (To record purchase of raw materials) Factory Labor Cash (To record factory labor costs paid) Manufacturing Overhead Accumulated Depreciation Equipment Accounts Payable (To record manufacturing overhead costs incurred) (2) Work in Process Inventory Manufacturing Overhead Raw Materials Inventory (To record assignment of direct materials) Work in Process Inventory Manufacturing Overhead Factory Labor (To record assignment of factory labor) work Manufacturing Overhead (To record assignment of manufacturing overhead) (3) Finished Goods Inventory Work in Process Inventory (To record completion of jobs) Cost of Goods Sold Finished Goods Inventory (To record sale of goods) Cash Sales Revenue (To record the cost of goods sold) e Textbook and Media Post the entries to Work in Process Inventory. (Post the entries to Work in Process Inventory in the order presented in the problem.) Work in Process Inventory 6/1 Balance June Completed Work Direct Materials Direct Labor Overhead Applied 6/30 Balance e Textbook and Media Reconcile the balance in Work in Process Inventory with the costs of unfinished jobs. Prepare a cost of goods manufactured schedule for June. CASE INC. Cost of Goods Manufactured Schedule For the Month Ended June 30, 2020 Work in Process, June 1 $ Direct Materials Used