FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Related questions
Concept explainers
Question
Fire Rock Company manufactures designer paddle boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for June:
See Attachment
Transcribed Image Text:Materials
June
Balance
82,500
June 30
Requisitions
(a)
30 Purchases
330,000
Work in Process
Completed jobs
June
Balance
(b)
June 30
(f)
30 Materials
(c)
(d)
30
Direct labor
30 Factory overhead applied
(e)
Finished Goods
June 30
(f)
Cost of goods sold
June
Balance
(g)
30 Completed jobs
Wages Payable
Wages incurred
330,000
June 30
Factory Overhead
June 30
June
Balance
33,000
Factory overhead applied
(e)
30 Indirect labor
(h)
44,000
30 Indirect materials
30 Other overhead
237,500
Transcribed Image Text:In addition, the following information is available:
a. Materials and direct labor were applied to the following jobs in June:
Job No.
Style
Quantity
Direct Materials
Direct Labor
$ 55,000
$ 41,250
T100
201
550
202
T200
1,100
93,500
71,500
T400
203
550
38,500
22,000
S200
69,300
204
660
82,500
205
T300
480
60,000
48,000
22,000
$351,500
206
S100
380
12,400
Total
3,720
$264,450
b. Factory overhead is applied to each job at a rate of 140% of direct labor
ost.
c. The June 1 Work in Process balance consisted of two jobs, as follows:
Work in Process,
June 1
Job No.
Style
201
T100
$16,500
202
T200
44,000
Total
$60,500
d. Customer jobs completed and units sold in June were as follows:
Units Sold
in June
Completed
in June
Job No.
Style
201
T100
440
202
T200
880
203
T400
204
S200
570
205
T300
420
206
S100
Instructions
1. Determine the missing amounts associated with each letter. Provide supporting calcula-
tions by completing a table with the following headings:
June 1
Work in
Process
Cost of
Goods
Sold
Job
No.
Direct
Direct
Factory
Overhead
Total
Cost
Unit
Cost
Units
Sold
Materials
Labor
Quantity
2. Determine the June 30 balances for each of the inventory accounts and factory overhead.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution
Trending nowThis is a popular solution!
Step by stepSolved in 3 steps with 3 images
Follow-up Questions
Read through expert solutions to related follow-up questions below.
Follow-up Question
How do I calculate Work In procces
Solution
by Bartleby Expert
Follow-up Question
How did you find these?
Transcribed Image Text:Total cost
(5)=(1)+(2)
+(3)+(4)
nit cost Units sold
(6)
S 170,500 $ 310
$ 309,10 $281
91,30
248,82 S 377
175,20 S 365
51,76
S
S
S
S
$ 1,046,68
aterial cost us
440
880
570
420
Cost of goods
sold
8)-(6) x (7)
136,400
247,280
214,890
153,300
751,870
Solution
by Bartleby Expert
Follow-up Questions
Read through expert solutions to related follow-up questions below.
Follow-up Question
How do I calculate Work In procces
Solution
by Bartleby Expert
Follow-up Question
How did you find these?
Transcribed Image Text:Total cost
(5)=(1)+(2)
+(3)+(4)
nit cost Units sold
(6)
S 170,500 $ 310
$ 309,10 $281
91,30
248,82 S 377
175,20 S 365
51,76
S
S
S
S
$ 1,046,68
aterial cost us
440
880
570
420
Cost of goods
sold
8)-(6) x (7)
136,400
247,280
214,890
153,300
751,870
Solution
by Bartleby Expert
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Chapter 7, Part 3. Please answer in same format as question so it's easy to readarrow_forwardRequired information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Pro-Weave manufactures stadium blankets by passing the products through a weaving department and then a sewing department. The following information is available regarding its June inventories: Raw materials inventory Beginning Inventory $ 154,000 450,000 640,000 Work in process inventory-Weaving Work in process inventory-Sewing Finished goods inventory 1,396,000 The following additional information describes the company's manufacturing activities for June: Raw materials purchases (on credit) Other actual overhead cost (paid in cash) Materials used Direct-Weaving Direct-Sewing Indirect Labor used Direct-Weaving Direct-Sewing Indirect Overhead rates as a percent of direct labor Weaving Sewing Sales (on credit) $ 625,000 200,000 $ 288,000 81,000 166,000 $ 1,325,000 405,000 1,775,000 (a) Transferred from Weaving to Sewing (b) Transferred…arrow_forwardProvide tablearrow_forward
- Sheridan Company manufactures pizza sauce through two production departments: Cooking and Canning. In each process, materials and conversion costs are incurred evenly throughout the process. For the month of April, the work in process inventory accounts show the following debits. Beginning work in process Direct materials Direct labor Manufacturing overhead Costs transferred in April 30 30 Cooking 30 $0 30 23,940 9,690 35,910 Journalize the April transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Canning $4,560 Date Account Titles and Explanation 10,260 (To record materials used) 7,980 29,480 60,420 (To assign direct labour to production) (To assign overhead to production) (To record transfer of units to the Canning Department) Debit Creditarrow_forwardeBook Show Me How E Print Item Rex Industries has identified three different activities as cost drivers: machine setups, machine hours, and inspections. The overhead and estimated usage are: Compute the overhead rate for each activity. Round your answers to two decimal places. Overhead Overhead Annual Rate per Activity per Activity Usage Activity Machine Setups $162,750 4,200 Machine Hours 381,051 14,113 Inspections 110,550 3,300arrow_forwardI need to finish with these three questions and need help please. Journalize the entries for costs transferred from Milling to Sifting and the costs transferred from Sifting to Packaging. 2. Determine the increase or decrease in the cost per equivalent unit from June to July for direct materials and conversion costs. 3.Discuss the uses of the cost of production report and the results of part (c).arrow_forward
- Interdepartment Services: Step Method O'Brian's Department Stores allocates the costs of the Personnel and Payroll departments to three retail sales departments, Housewares, Clothing, and Furniture. In addition to providing services to the operating departments, Personnel and Payroll provide services to each other. O'Brian's allocates Personnel Department costs on the basis of the number of employees and Payroll Department costs on the basis of gross payroll. Cost and allocation information for June is as follows: Direct department cost Number of employees Gross payroll Personnel Payroll Housewares Clothing Furniture $7,300 $3,800 $12,300 $20,000 $15,650 5 Total costs $ 2 $6,100 $2,800 Payroll 0 (a) Determine the percentage of total Personnel Department services that was provided to the Payroll Department. (Round your answer to one decimal place.) 12.5 X% (b) Determine the percentage of total Payroll Department services that was provided to the Personnel Department. (Round your answer…arrow_forwardRequired information [The following information applies to the questions displayed below.] Marco Company shows the following costs for three jobs worked on in April. Balances on March 31 Direct materials used (in March) Direct labor used (in March) Overhead applied (March) Costs during April Direct materials used Direct labor used Overhead applied Status on April 30 a. Materials purchases (on credit). b. Direct materials used. View transaction list Journal entry worksheetarrow_forwardSierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the cutting process. The following information is available regarding its May inventories. Beginning Inventory Ending Inventory Raw materials inventory $ 81,000 $ 97,900 Work in process inventory—Cutting 193,500 135,500 Work in process inventory—Stitching 213,300 107,000 Finished goods inventory 50,100 38,250 The following additional information describes the company's production activities for May. Direct materials Raw materials purchased on credit $ 100,000 Direct materials used—Cutting 25,500 Direct materials used—Stitching 0 Direct labor Direct labor—Cutting $ 23,100 Direct labor—Stitching 92,400 Factory Overhead (Actual costs) Indirect materials used $ 57,600 Indirect labor used 58,000 Other overhead costs 62,000 Factory Overhead Rates Cutting 150% of direct…arrow_forward
- Subject : Accountingarrow_forwardFriedman Company has a production process that involves three processes. Units move through the processes in this order: cutting, stamping, and then polishing. The company had the following transactions in November: View the transactions. Prepare the joumal entries for Friedman Company. (Record debits first, then credits. Exclude explanations from journal entries.) 1. Cost of units completed in the Cutting Department, $14,000 Date Nov. 30 Accounts Debit Credit Transactions 1. Cost of units completed in the Cutting Department, $14,000 2. Cost of units completed in the Stamping Department, $28,000 $39,000 3. Cost of units completed in the Polishing Department, 4. Sales on account, $40,000 5. Cost of goods sold is 80% of sales - Xarrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,
Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSON
Intermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill Education
Financial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education
Accounting
Accounting
ISBN:9781337272094
Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:Cengage Learning,
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...
Accounting
ISBN:9780134475585
Author:Srikant M. Datar, Madhav V. Rajan
Publisher:PEARSON
Intermediate Accounting
Accounting
ISBN:9781259722660
Author:J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:9781259726705
Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:McGraw-Hill Education