Question
The Bambi Company commenced operations in December and records its operations in a single ledger. The following information relates to its production for the month:
The Bambi Company commenced operations in December and records its operations in a single ledger.
The following information relates to its production for the month:
Raw material purchased on credit (including 10% GST) | $22,000 |
Raw material issued to production | $15,000 |
Raw material issued as factory supplies | $2,000 |
Direct labour charged to production | $17,000 |
Indirect labour | $2,000 |
Factory labour payroll paid (net of PAYG Withheld of $3,000) | $16,000 |
Factory rent paid excluding 10% GST | $8,500 |
Depreciation on factory machinery | $7,500 |
Factory Overhead charged to production | $20,000 |
Cost of Goods Manufactured sent to finished goods store | $32,000 |
Goods sold on credit: Sales price (excluding 10% GST) Cost price of Goods Sold on credit | $30,000 $22,000 |
Required:
Prepare the general journal entries to record the above transactions that took place during December.
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