Question
The following information applies to the questions displayed below.] Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department.
The following information applies to the questions displayed below.] Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories:
| Beginning Inventory | Ending Inventory | |||||
| Raw materials inventory | $ | 178,000 | $ | 185,000 | ||
| Work in process inventoryWeaving | 320,000 | 540,000 | ||||
| Work in process inventorySewing | 720,000 | 840,000 | ||||
| Finished goods inventory | 1,296,000 | 1,336,000 | ||||
The following additional information describes the companys manufacturing activities for June:
| Raw materials purchases (on credit) | $ | 680,000 | |
| Factory wages cost (paid in cash) | 3,510,000 | ||
| Other factory overhead cost (Other Accounts credited) | 212,000 | ||
| Materials used | |||
| DirectWeaving | $ | 288,000 | |
| DirectSewing | 129,000 | ||
| Indirect | 198,000 | ||
| Labor used | |||
| DirectWeaving | $ | 1,350,000 | |
| DirectSewing | 560,000 | ||
| Indirect | 1,600,000 | ||
| Overhead rates as a percent of direct labor | |||
| Weaving | 85 | % | |
| Sewing | 170 | % | |
| Sales (on credit) | $ | 5,400,000 |
1. Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold. 2. Prepare journal entries dated June 30 to record (a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods, and (c) sale of finished goods.
Complete this question by entering your answers in the tabs below.
- Required 1
- Required 2
Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold.
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Complete this question by entering your answers in the tabs below.
- Required 1
- Required 2
Prepare journal entries dated June 30 to record (a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods, and (c) sale of finished goods.
Journal entry worksheet
- Record the goods transferred from weaving to sewing.
Note: Enter debits before credits.
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
