The following account appears in the ledger after only part of the postings have
ID: 2388107 • Letter: T
Question
The following account appears in the ledger after only part of the postings have beencompleted for January:
Work in Process
Balance, January 1$ 14,200
Direct materials115,400
Direct labor124,500
Factory overhead65,400
Jobs finished during January are summarized as follows:
Job 710 $62,500 Job 727 $35,400
Job 714 75,600 Job 732 132,500
a.Journalize the entry to record the jobs completed.
DESCRITION DEBIT CREDIT
FINISH GOODS
WORK PROCESS
b.Determine the cost of the unfinished jobs at January 31
Explanation / Answer
a. Journalize the entry to record the jobs completed.a.
Finished Goods ................................. 306,000
Work in Process ................................ 306,000
b. Determine the cost of the unfinished jobs at January 31
Cost of unfinished jobs at January 31:
Balance in Work in Process at January 1...... 14,200
Add: Direct materials ........................ 115,400
Direct labor ............................. 124,500
Factory overhead ...................... 65,400 319,500
Less: Jobs finished during January ......... 306,000
Balance in Work in Process at January 31 .... 13,500