Introduction To Managerial Accounting
8th Edition
ISBN: 9781259917066
Author: BREWER, Peter C., Garrison, Ray H., Noreen, Eric W.
Publisher: Mcgraw-hill Education,
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Chapter 3.A, Problem 3E
Transaction Analysis L03-5
Dixon Company is a manufacturer that completed numerous transactions the month, some of which are shown below.
a. Raw materials purchased on account, S 100.000.
b. Raw materials used in $78,000 direct materials, and $16,000 indirect materials.
c. Sales commissions paid in cash, $45,000.
d. Depreciation was recorded for the month. $60,000 (65% related to factory equipment. and the remainder related to selling and administrative equipment).
e. Sales for the month. $4S0.000 (70% cash sales and the remainder were sales on account).
f. Factory utilities paid in cash. $12, 000.
g. Applied $138,000 of manufacturing
h. Various
i. Cash receipts from customers who had previously purchased on credit. $115,000.
j.Various completed jobs costing a total of $220.000 were sold to customers.
k. Cash paid to raw material suppliers, $90,000.
Required:
The table shown below includes only one account from Dixon Company’s balance sheet-
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The below transactions pertain to La Pharma Co. during the current year:1. Purchase of Direct Materials on credit: $512,0002,Usage of $275,000 Direct material and $62,000 indirect material3. Direct labor incurred amounted to $ 28,000 and was paid in cash4.Indirect labor incurred amounted to $5,000 on account5.Manufacturing overhead costs incurred are: Plant insurance $11,000 (paid cash), Utilities $8,000 (paid cash).Manufacturing repairs $4,800 (on account), Depreciation on manufacturing machinery $15,0006.Manufacturing overhead allocated amounted to $104,0007.Completion and transfer of jobs to finished goods: $605,0008. Sale of finished goods on account: cost of goods sold amount to $260,000 and sales amount to $392,000. Thecompany uses a perpetual inventory system.
1) Journalize the above transactions. Number your entries.
Transaction Analysis
Dixon Company is a manufacturer that completed numerous transactions during the month, some of which are shown below:
a. Raw materials purchased on account, $100,000.
b. Raw materials used in production, $78,000 direct materials, and $16,000 indirect materials.
c. Sales commissions paid in cash, $45,000.
d. Depreciation was recorded for the month. $60,000 (65% related to factory equipment, and the remainder related to selling and administrative equipment).
e. Sales for the month, $450,000 (70% cash sales and the remainder were sales on account).
f. Factory utilities paid in cash, $12,000.
g. Applied $138,000 of manufacturing overhead to production during the month.
h. Various jobs costing a total of $190,000 were completed during the month and transferred to Finished Goods.
i. Cash receipts from customers who had previously purchased on credit, $115,000.
j. Various completed jobs costing a total of $220,000 were sold to customers.
k. Cash paid to raw material…
Larned Corporation recorded the following transactions for the just completed month.
a. Purchased $78,000 of raw materials on account.
b. $76,000 in raw materials were used in production. Of this amount, $67,000 was direct materials and the remainder was indirect
materials.
c. Paid employees $124,500 cash. Of this amount, $104,400 was direct labor and the remainder was indirect labor.
d. Depreciation of $190,000 was incurred on factory equipment.
Required:
Record the above transactions in journal entries.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
View transaction list View journal entry worksheet
i
i
V
No
1
2
3
i 4
Transaction
a
b.
C.
d
Raw materials
Work in process
Work in process
General Journal
Accumulated depreciation
Debit
78,000
190,000
Credit
78,000
190,000
Chapter 3 Solutions
Introduction To Managerial Accounting
Ch. 3.A - Carmen Company is a manufacturer that completed...Ch. 3.A - Transaction Analysis L03-5 Adams Company is a...Ch. 3.A - Transaction Analysis L03-5 Dixon Company is a...Ch. 3.A - A Transaction Analysis L03-5 Morrison Company uses...Ch. 3.A - Prob. 5PCh. 3.A - Transaction Analysis Brooks Corporation uses a...Ch. 3 - What is the link that connect the schedule of cost...Ch. 3 - What account is credited when overhead cost is...Ch. 3 - What is under applied overhead? Over applied...Ch. 3 - Provide two reason why overhead might be under...
Ch. 3 - What adjustment is made for under applied overhead...Ch. 3 - How do you compute the raw materials used in...Ch. 3 - How do you compute the total manufacturing cost...Ch. 3 - How do you compute the cost of goods manufactured?Ch. 3 - How do you compute the unadjusted cost of goods...Ch. 3 - How do direct labor costs flows through a...Ch. 3 - The Excel work sheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - The Excel worksheet form that appears below is to...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Prob. 4F15Ch. 3 - Prob. 5F15Ch. 3 - Prob. 6F15Ch. 3 - Prob. 7F15Ch. 3 - Prob. 8F15Ch. 3 - Prob. 9F15Ch. 3 - Bunnell Corporation is a manufacturer tint uses...Ch. 3 - Prob. 11F15Ch. 3 - Prob. 12F15Ch. 3 - Prob. 13F15Ch. 3 - Prob. 14F15Ch. 3 - Prob. 15F15Ch. 3 - Prepare Journal Entries L03-1 Larned Corporation...Ch. 3 - Prepare Accounts L03-2, L03-4 Jurvin Enterprises...Ch. 3 - Schedules of Cost of Goods Manufactured and Cost...Ch. 3 - Under applied and Overapplied Overhead Osborn...Ch. 3 - Journal Entries and T-Accounts 103-1,103-2 The...Ch. 3 - EXERCISE 3-6 Schedules of Cost of Goods...Ch. 3 - Applying Overhead; Cost of Goods Manufactured...Ch. 3 - Applying Overhead; Journal Entries; Disposing of...Ch. 3 - Applying Overhead; T-Accounts; Journal Entries...Ch. 3 - Applying Overhead; Journal Entries; T-accounts...Ch. 3 - PROBLEM 3-11 T-Account Analysis of cost Flows...Ch. 3 - PROBLEM 3-12 Predetermined Overhead Rate;...Ch. 3 - Schedules of Cost of Goods Manufactured and Cost...Ch. 3 - Schedule of Cost of Goods Manufactured; Overhead...Ch. 3 - Journal Entries; T-Accounts; Financial Statements...Ch. 3 - Comprehensive problem L03-1, L03-2, L03-4 Gold...Ch. 3 - Cost Flows; T-Accounts; Income Statement L03-z...
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