Question
Tron Industries produces electronic equipment and uses backflush costing.There are no beginning inventories of raw materials or finished goods.See below for the following data related
Tron Industries produces electronic equipment and uses backflush costing.There are no beginning inventories of raw materials or finished goods.See below for the following data related to the month:
Direct Materials Purchased $500,000.00
Direct Materials Used $498,000.00
Conversion Costs Incurred $734,500.00
Conversion Costs Allocated $720,000.00
Standard DM per Unit $66.40
Standard Conv per Unit $96.00
Units Sold in Period6,250
REQUIRED:
a) Purchase of raw materials journal entry
b) Incur conversion costs journal entry
c) Completion of finished goods journal entry
d) Sale of finished goods journal entry (COGS entry only)
e) Record the over/under allocation of conversion costs journal entry
f) Calculate the # of unsold finished goods (physical quantity)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
a Purchase of raw materials journal entry markdown DR Raw Materials Inventory 500000 CR Cash 500000 ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started