FUND.ACCT.PRIN.
25th Edition
ISBN: 9781260247985
Author: Wild
Publisher: RENT MCG
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Textbook Question
Chapter 19, Problem 20E
Exercise 19-20
Direct materials
A recent balance sheet for Porsche AG shows beginning raw materials inventory of €83 million and ending raw materials inventory of €85 million. Assume the company purchased raw materials (on account) for €3,108 million during the year. (1) Prepare journal entries to record (a) the purchase of raw materials and (b) the use of raw materials in production. (2) What do you notice about the C amounts in your journal entries?
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Question 1.1
The following information was taken from the accounting records of Dunbar Mifflin Company in 2018.
Beginning of 2018
135,000
Ending of 2018
Direct materials inventory
Work-in-process inventory
Finished-goods inventory
83,000
185,000
154,000
255,000
216,000
Purchases of direct materials
270,000
Direct manufacturing labor
Indirect manufacturing labor
225,000
103,000
Plant insurance
11,000
Depreciation-plant, building, and equipment
48,000
Plant utilities
29,500
Repairs and maintenance-plant
Equipment leasing costs
Marketing, distribution, and customer-service costs
13,500
66,800
129,500
General and administrative costs
72,500
Required:
1. Prepare a schedule of cost of goods manufactured.
QS 18-16 Direct materials used LO C5
Nestlé reports beginning raw materials inventory of 3,815 and ending raw materials inventory of 3,499 (both numbers in millions of Swiss francs). If Nestlé purchased 13,860 (in millions of Swiss francs) of raw materials during the year, what is the amount of raw materials it used during the year? (Enter your answer in millions of Swiss francs.)
Problem 6
The Protect Production Company presents the following selected general ledger accounts
showing balances at October 1, 2017:
Cash
P 40,000
Finished Goods
592,000
Work in Process
Raw materials
Prepaid Insurance
Accumulated Depreciation
Accounts Payable
164,000
128,000
4,000
280,000
108,000
Balances at October 31, 2017 include:
Accrued payroll
Finished goods
P 12,000
608,000
188,000
120,000
Work in Process
Raw Materials
A summary of transactions for the month of October follows:
a. Cash sales
b. Raw materials purchased on account
c. Direct materials used
P420,000
168,000
156,000
64,000
1,200
d. Direct Labor
e. Factory insurance expired
f. Depreciation for factory equipment
g. Factory utility service on account
h. Accounts payable paid
Factory payroll paid
6,800
12,000
196,000
88,000
i.
Required:
16. Indirect materials used.
17. Indirect labor
18. Total factory overhead
19. Cost of goods manufactured
20. Cost of goods sold.
Chapter 19 Solutions
FUND.ACCT.PRIN.
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Ch. 19 - Prob. 11QSCh. 19 - Prob. 12QSCh. 19 - Jab order costing of services A1 An advertising...Ch. 19 - Job order costing of services A1 An advertising...Ch. 19 - Job cost sheet C2 Eco Skate makes skateboards from...Ch. 19 - Prob. 16QSCh. 19 - Prob. 17QSCh. 19 - Prob. 18QSCh. 19 - Prob. 19QSCh. 19 - Prob. 20QSCh. 19 - Prob. 21QSCh. 19 - Prob. 22QSCh. 19 - Prob. 23QSCh. 19 - Prob. 24QSCh. 19 - Exercise 19-1 Job order production C1 Match each...Ch. 19 - Exercise 19-2 Job cost computation C2 The...Ch. 19 - Exercise 19-3 Analysis of cost flows C2 As of the...Ch. 19 - Exercise 19-4 Recording product costs P1 P2 P3...Ch. 19 - Exercise 19-5 Manufacturing cost flows P1 P2 P3...Ch. 19 - Exercise 19-6 Recording events in job order...Ch. 19 - Exercise 19-7 Cost flows in a jab order costing...Ch. 19 - Exercise 19-8 Journal entries for materials P1 Use...Ch. 19 - Exercise 19-9 Journal entries for labor P2 Use...Ch. 19 - Exercise 19-10 Journal entries for overhead P3 Use...Ch. 19 - Exercise 19-11 Overhead rate; costs assigned to...Ch. 19 - Exercise 19-12 Analyzing costs assigned to work in...Ch. 19 - Exercise 19-13 Adjusting factory overhead P4 Refer...Ch. 19 - Exercise 19-14 Adjusting factory overhead P4...Ch. 19 - Prob. 15ECh. 19 - Prob. 16ECh. 19 - Exercise 19-17 Overhead rate calculation,...Ch. 19 - Exercise 19-18 Job order costing for services A1...Ch. 19 - Exercise 19-19 Job order costing of services A1...Ch. 19 - Exercise 19-20 Direct materials journal entries P1...Ch. 19 - Prob. 21ECh. 19 - Prob. 22ECh. 19 - Prob. 23ECh. 19 - Prob. 24ECh. 19 - Prob. 25ECh. 19 - Prob. 26ECh. 19 - Prob. 27ECh. 19 - Prob. 28ECh. 19 - Prob. 29ECh. 19 - Prob. 30ECh. 19 - Prob. 31ECh. 19 - Problem 19-1A Production costs computed and...Ch. 19 - Problem 19-2 A Source documents, journal entries,...Ch. 19 - Prob. 3PSACh. 19 - Prob. 4PSACh. 19 - Problem 19-5A Production transactions, subsidiary...Ch. 19 - Problem 19-1B Production costs computed and...Ch. 19 - Prob. 2PSBCh. 19 - Prob. 3PSBCh. 19 - Problem 19-4B Overhead allocation and adjustment...Ch. 19 - Problem 19-5B Production transactions, subsidiary...Ch. 19 - The computer workstation furniture manufacturing...Ch. 19 - The General Ledger tool in Connect automates...Ch. 19 - Manufacturers and merchandisers can apply...Ch. 19 - Prob. 2AACh. 19 - Apple and Samsung compete in the global...Ch. 19 - Prob. 1DQCh. 19 - Some companies use labor cost to apply factory...Ch. 19 - Prob. 3DQCh. 19 - In a job order costing system, what records serve...Ch. 19 - What journal entry is recorded when a materials...Ch. 19 - Prob. 6DQCh. 19 - Google uses a "time ticket" for some employees....Ch. 19 - What events cause debits to be recorded in the...Ch. 19 - Prob. 9DQCh. 19 - Assume that Apple produces a batch of 1,000...Ch. 19 - 11. Why must a company use predetermined overhead...Ch. 19 - How would a hospital apply job order costing?...Ch. 19 - Harley-Davidson manufactures 30 custom-made,...Ch. 19 - Prob. 14DQCh. 19 - Prob. 15DQCh. 19 - Assume that your company sells portable housing to...Ch. 19 - Assume that you are preparing for a second...Ch. 19 - Prob. 3BTNCh. 19 - Consider the activities undertaken by a medical...
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