Question
Selected information from Skybox Studios shows the following: Raw Material Purchased $5,000 Direct Materials $1,500 Direct Labor $11,000 Factory Depreciation $2,000 Total Manufacturing Overhead Incurred
Selected information from Skybox Studios shows the following:
Raw Material Purchased $5,000
Direct Materials $1,500
Direct Labor $11,000
Factory Depreciation $2,000
Total Manufacturing Overhead Incurred $15,000
Machine Hours Per Month 28,000
Unit Cost for Materials $2
Unit Cost of Conversation $8
Number units transferred 15,000
Prepare journal entries to record the following:
a. Raw material purchased
b. Direct labor incurred
c.Depreciation expense (hint: this is part of manufacturing overhead)
d. Raw materials used
e. Overhead applied on the basis of $0.50 per machine hour
f.The transfer from department 1 to department 2
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