The following are also provided:

Tax rate - 30%

Interest expenses - 20,000

Administrative expenses - 540,000

Beginning Inventories:

Raw materials: 610,000

Work in Process: 1,065,000

Finished Goods: 2,100,000

Units manufactured for the period - 100,000 units

Compute or provide for the following needed:

1. Provide journal entries per transaction (use compound entries)

2. Cost or Goods Sold

3. Total Manufacturing Cost

4. Cost per unit under normal costing

1. Purchase of materials (direct and indirect), on credit, P1,000,000 2. Usage of raw materials, P750,000 (20% are indirect materials) 3. Manufacturing payroll for the month: Gross amount of 390,000 Direct labor, P90,000 of which for SSS and other government payable, and gross amount of indirect labor, P170,000, P45,000 of which for SSS and government payable. Net salary paid in cash. 4. Other manufacturing overhead costs incurred during the month, P175,000, consisting of janitorial salaries, P80,000 paid in cash for plant utilities, repairs, and supervisory salaries, P130,000 and plant depreciation, P40,000 5. Allocation of manufacturing overhead to jobs using predetermined OH rate of P12/machine hour. Actual machine hour for the month is 50,000 hours. 6. Completion and transfer of individual jobs to finished goods, P1,555,000 7 Cost of goods sold, P880,000 8. Marketing costs for February, P45,000 and customer service costs for February P15,000, paid in cash 9. Sales, all on credit, P2,270,000