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TEE 25 - 12 - A Aa- po ab X, *' ADA AaBbCcl AaBbCI AaBbc Enfasis 1 Normal Subtitulo 5 8 Fuente Prrafo 1 2

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TEE 25 - 12 - A Aa- po ab X, *' ADA AaBbCcl AaBbCI AaBbc Enfasis 1 Normal Subtitulo 5 8 Fuente Prrafo 1 2 3 PROBLEM V (20 Puntos) Lorens Manufacturing Company uses a job order cost accounting system and keeps perpetual inventory records. Prepare journal entries to record the following transactions during the month of June. REGISTRE LAS TRANSACCIONES EN EL ORDEN EN QUE OCURREN June 1 Purchased raw materials for $20,000 on account Raw materials requisitioned by production: Direct Mats. $8,000/Indirect Mats. $1,000 15 Paid factory utilities, $2,100 and repairs for factory equipment, $3,000. 25 Incurred $84,000 of factory labor that was not paid until next month. 25 The Time tickets were distributed as follows: DL (5,000 hrs * $12 per bt) - $60,000 Indirect Labor (3,000 hrs $8 per ht) - $24,000, total factory labor $84,000. 26 Applied manufacturing overhead to production based on a predetermined overhead rate of $7 per direct labor hour worked. 28 Goods costing $18,000 were completed in the factory and were transferred to finished goods. 30 Goods costing $15,000 were sold for $20,000 on account Solution PROBLEM V JORNAL GENERAL (GENERAL JOURNAL) FECHA NOMBRE DE LA CUENTA DEBITO CREDITO June 1 June 8 June 15 June 25 June 25 June 26 June 28 June 30 June 30 BAAB AAB l Buscar Reemplaza Selecciona ulo 11 Titulo 1 1 Ttulo 2 1 Titulo 3 1 Titulo 4 Titulo 5 1 Titulo 6 1 Titulo 7 Estilos Edicin PROBLEM VI (20 Puntos) Veronic Manufacturing is a small manufacturer that uses machine-hours as its activity base for assigned overhead costs to jobs. The company presents the following data for 2019 for the company and for Job 62: Company Job 62 Direct materials $60,000 $4,500 Direct labor $25,000 $2,500 Estimated manufacturing overhead costs $72,000 Estimated machine hours 90,000 Actual machine hours 94,000 1.350 During 2019, the actual overhead costs were $71,000. Instructions (a) Compute the predetermined overhead rate for the company. (b) Compute the total manufacturing costs for Job 62. (c) How much overhead is over or under applied for the year for the company? State the amount and whether it is over or under applied. (d) If Veronic Manufacturing sells Job 62 for $14,000, compute the gross profit. Solution PROBLEM VI a. Predetermined overhead rate for Veronic Company = b. Total manufacturing costs for Job 62 c. State amount and whether it is over- or under applied for the company - d. Compute the gross profit for Job 62

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