Using the following information about transactions, answer the questions about Job Order Costing for Aoyama Co. There was $30,000 in the beginning inventory for raw materials. The beginning balance in WIP was $15,000 for Job No. 1. No beginning balance in Finish good. The company purchased materials for $70,000, of which $34,000 went to WIP as costs for Job Nol, and $30,000 as costs for Job No 2. Direct labor used in production for Job No.1 was $84,000, and $68,000 for the Job No.2. Utilities incurred, $40,000 - 60% due to manufacturing facilities. Administrative costs, $52,000 - 80% due to manufacturing. Advertising expenses of $28,000 incurred. There are indirect materials of $18,000, and $14,400 of indirect labor costs incurred in the job.. The company uses direct labor costs as the allocation base for manufacturing overhead costs. The total estimated manufacturing overhead costs was $240,000 and the estimated direct labor costs are $320,000. Overhead costs are applied to Job No. 1 and Job No.2. There is no other cost incurred for production for Job No.1, the production was finished, and it later sold for $250,000 on credit. But the production of Job No2 has not finished yet. Prepare seven T accounts by filling all transactions above. Makes sure to calculate the predetermined overhead allocation rate and allocated overhead. In addition, prepare the journal entries for the sale of Job No.1. Materials $30,000 WIP $15,000 If these are all transactions in 2018, prepare the adjusting entries and close MOHC and MOHA accountings using COGS. Clearly state over or under allocation. Now instead of using COGS if a company prorates over or under allocation based on the stage of products how does the journal entry the above change? Using the following information about transactions, answer the questions about Job Order Costing for Aoyama Co. There was $30,000 in the beginning inventory for raw materials. The beginning balance in WIP was $15,000 for Job No. 1. No beginning balance in Finish good. The company purchased materials for $70,000, of which $34,000 went to WIP as costs for Job Nol, and $30,000 as costs for Job No 2. Direct labor used in production for Job No.1 was $84,000, and $68,000 for the Job No.2. Utilities incurred, $40,000 - 60% due to manufacturing facilities. Administrative costs, $52,000 - 80% due to manufacturing. Advertising expenses of $28,000 incurred. There are indirect materials of $18,000, and $14,400 of indirect labor costs incurred in the job.. The company uses direct labor costs as the allocation base for manufacturing overhead costs. The total estimated manufacturing overhead costs was $240,000 and the estimated direct labor costs are $320,000. Overhead costs are applied to Job No. 1 and Job No.2. There is no other cost incurred for production for Job No.1, the production was finished, and it later sold for $250,000 on credit. But the production of Job No2 has not finished yet. Prepare seven T accounts by filling all transactions above. Makes sure to calculate the predetermined overhead allocation rate and allocated overhead. In addition, prepare the journal entries for the sale of Job No.1. Materials $30,000 WIP $15,000 If these are all transactions in 2018, prepare the adjusting entries and close MOHC and MOHA accountings using COGS. Clearly state over or under allocation. Now instead of using COGS if a company prorates over or under allocation based on the stage of products how does the journal entry the above change
