The following accounts will be used in this problem:

A. Raw materials inventory

B. Accounts payable

C. Cost of goods sold

D. Work in process inventory

E. Manufacturing overhead

F. Wages and salaries expense

G. Accumulated depreciation

H. Depreciation expense

I. Finished goods inventory

J. Wages and salaries payable

K. Prepaid insurance

L. Insurance expense

Required: Enter identifying letters in the blanks below to indicate the accounts debited and credited under a job-order costing system for each of the following summary transactions:

Debit Credit

1 Insurance expired on the factory building.

2 Cost of goods sold is recorded.

3 Materials are purchased on account.

4 Direct labor cost is incurred.

5 Cost of goods manufactured is recorded.

6 Salaries are recorded for the sales staff.

7 Depreciation is recorded on the factory building

8 Materials are placed into production.

9 Manufacturing overhead is assigned to units of product.

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Hirschman Corporation has provided the following data for the month of April:

Inventories Beginning Ending

Raw materials............................................. $ 21,000 $ 35,000

Work in process............................................. 17,000 19,000

Finished goods.............................................. 46,000 38,000

Additional information:

Raw materials purchases................................................................... $ 76,000

Direct labor cost.................................................................................. 81,000

Manufacturing overhead cost incurred................................................ 42,000

Indirect materials included in manufacturing overhead cost incurred...... 6,000

Manufacturing overhead cost applied to Work in Process..................... 44,000

Prepare a Schedule of Cost of Goods Manufactured and a Schedule of Cost of Goods Sold in good form.

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