Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning of each process, and conversion
Sharpe Company makes organic salsa in two production departments, Cooking and Bottling. Direct materials costs are added at the beginning of each process, and conversion costs are added evenly throughout each process. The company reports the following for a recent month. Cooking Bottling $ 6,500 Beginning work in process inventory Activity during the month Direct materials Direct labor Overhead applied $ 19,000 13,000 16,000 $ 9,200 7,800 9,500 Costs transferred from Cooking to Bottling $ 43,000 Costs transferred from Bottling to finished goods 68,000 1. Prepare journal entries to record (a) direct materials used, (b) direct labor, and (c) overhead applied. 2. Prepare journal entries to record the costs transferred from (a) Cooking to Bottling and (b) Bottling to Finished Goods. 3. Use T-accounts to compute (a) the ending balance of Work in Process Inventory-Cooking and (b) the ending balance of Work in Process Inventory-Bottling. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare journal entries to record (a) direct materials used, (b) direct labor, and (c) overhead applied. View transaction list View journal entry worksheet Transaction Credit No 1 a. General Journal Work in process inventory-Cooking Work in process inventoryBottling Raw materials inventory Debit 19,000 9,200 28,200 2 b. 13,000 Work in process inventory-Cooking Work in process inventoryBottling Factory wages payable 7,800 20,800 3 C. Work in process inventory-Cooking Work in process inventory-Bottling Factory overhead 16,000 9,500 25,500 Required 1 Required 2 Required 3 Prepare journal entries to record the costs transferred from (a) Cooking to Bottling and (b) Bottling to Finished Goods. View transaction list View journal entry worksheet Debit Credit No 2 Transaction b. General Journal Finished goods inventory Work in process inventory-Bottling 68,000 68,000 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Use T-accounts to compute (a) the ending balance of Work in Process Inventory-Cooking and (b) the ending balance of Work in Process Inventory-Bottling. Work in Process Inventory-Cooking Debit Credit Work in Process Inventory-Bottling Debit Credit Beginning balance Beginning balance Ending balance Ending balance
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started