Sunland Corporation incurred the following transactions. 1. Purchased raw materials on account $43,550. Raw Materials of $33,840 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $6,420 was classified as indirect materials. Factory labor costs incurred were $56,320. Time tickets indicated that $50,760 was direct labor and $5,560 was indirect labor. Manufacturing overhead costs incurred on account were $75,670. 2. 3. 4. 5. 6. Depreciation on the company's office building was $7,600. 7. Manufacturing overhead was applied at the rate of 150% of direct labor cost.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sunland Corporation incurred the following transactions.
Purchased raw materials on account $43,550.
Raw Materials of $33,840 were requisitioned to the factory. An analysis of the materials requisition slips indicated that
$6,420 was classified as indirect materials.
Factory labor costs incurred were $56,320.
Time tickets indicated that $50,760 was direct labor and $5,560 was indirect labor.
Manufacturing overhead costs incurred on account were $75,670.
Depreciation on the company's office building was $7,600.
7. Manufacturing overhead was applied at the rate of 150% of direct labor cost.
1.
2.
3.
4.
5.
6.
8.
9.
Goods costing $82,720 were completed and transferred to finished goods.
Finished goods costing $70,500 to manufacture were sold on account for $96,820.
Journalize the transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is
entered. Do not indent manually.)
Transcribed Image Text:Sunland Corporation incurred the following transactions. Purchased raw materials on account $43,550. Raw Materials of $33,840 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $6,420 was classified as indirect materials. Factory labor costs incurred were $56,320. Time tickets indicated that $50,760 was direct labor and $5,560 was indirect labor. Manufacturing overhead costs incurred on account were $75,670. Depreciation on the company's office building was $7,600. 7. Manufacturing overhead was applied at the rate of 150% of direct labor cost. 1. 2. 3. 4. 5. 6. 8. 9. Goods costing $82,720 were completed and transferred to finished goods. Finished goods costing $70,500 to manufacture were sold on account for $96,820. Journalize the transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
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