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The net earnings of the factory workers for Larkin Company during the month of January are $78,000. The employers payroll taxes for the factory payroll

The net earnings of the factory workers for Larkin Company during the month of January are $78,000. The employers payroll taxes for the factory payroll are $7,700. The fringe benefits to be paid by the employer on this payroll are $6,000. Of the total accumulated cost of factory labor, 85% is related to direct labor and 15% is attributable to indirect labor. (a) Prepare the entry to record the factory labor costs for the month of January. (b) Prepare the entry to assign factory labor to production.

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Exercise 15-1 Your answer is partially correct. Try again The net earnings of the factory workers for Larkin Company during the month of January are $78,000. The employer's payroll taxes for the factory payroll are $7,700. The fringe benefits to be paid by the employer on this payroll are $6,000. Of the total accumulated cost of factory labor, 85% is related to direct labor and 15% is attributable to indirect labor (a) Prepare the entry to record the factory labor costs for the month of January (b) Prepare the entry to assign factory labor to production (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation (a) Factory Labor Debit Credit 78,000 Factory Wages Payable 64,700 Employer Payroll Taxes Payable 7,700 Employer Fringe Benefits Payable 6,000 (b) work in Process Inventor 66,300 Manufacturing Overhead 11,700 Factory Labor 78,000 Click if you would like to Show Work for this question: en Show Wo

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