Problem 19 3A Source documents, journal entries, and accounts in job order costi
ID: 2563058 • Letter: P
Question
Problem 19 3A Source documents, journal entries, and accounts in job order costing LO P1, P2, P3 The following information applies to the questions displayed below Widmer watercraft's predetermined overhead rate for year 2015 is 200% of direct labor. Information on the company's production actvities during May 2015 follows a. Purchased raw matertals on credit, $200,000. b. Matenals requisitions record use of the following materials for the month Job 136 Job 137 Job 138 Job 139 Job 140 $ 48,000 32,000 19,200 22,400 6,400 Total direct meterials Indirect materials 128,000 19,500 Total matertals used $147,500 c. Paid $15,000 cash to a computer consultant to reprogram foctory equipment d. Time tickets record use of the following labor for the month. These wages were paid in cash Job 136 Job 137 Job 138 Job 139 Job 140 S 12,000 10,500 37,500 39,000 3,000 Total direct labor Indirect labor 102,000 24,000 Total $126,000 e. Applied overhead to Jobs 136, 138, and 139. t. Transferred Jobs 136, 138, and 139 to Finished Goods g Sold Jobs 136 and 138 on credit at a total price of $525.000. h. The company incurred the following overheed costs during the month (credit Prepaid Insurance for expired factory Insurance)Explanation / Answer
job no job no job no job no job no 1) 136 137 138 139 140 Materials 48,000 32,000 19,200 22,400 6,400 128,000 labor 12,000 10,500 37,500 39,000 3,000 102,000 overhead 24,000 21000 75000 78000 6000 204,000 total cost 84,000 63,500 131,700 139,400 15,400 434,000 2) Transactions General Journal Debit Credit a. Raw materials inventory 200,000 Accounts payable 200,000 b. Work in process inventory 128,000 Factory overhead 19,500 Raw materials inventory 147,500 c. Factory overhead 15,000 cash 15,000 d. Work in process inventory 102,000 Factory overhead 24,000 Factory payroll 126,000 e. work in process inventory 177,000 Factory overhead 177,000 f. Finished goods inventory 355,100 work in process inventory 355,100 g. Accounts receivable 525,000 sales 525,000 Cost of goods sold 215,700 finished goods inventory 215,700 h. Factory overhead 149,500 Accumulated depreciation-building 68,000 Accumulated depreciation-factory 36,500 prepaid insurance 10,000 property taxes payable 35,000 i. work in process inventory 27000 Factory overhead 27,000 Raw materials inventory Work in process inventory BB 0 BB 0 a. 200,000 b. 128,000 b. 128,000 f. 355,100 b. 19,500 d. 102,000 e. 177,000 End bal 52,500 i. 27,000 End bal 78,900 Factory overhead Finished goods inventory b. 19,500 e. 177,000 f. 355,100 g. 215,700 c. 15,000 i. 27,000 d. 24,000 End bal 139400 h. 149,500 End bal 4,000 cost of goods sold g. 215,700 4) Report of Job costs work in process inventory job 137 63,500 job 140 15,400 Balance 78,900 Finished goods inventory Job 139 139,400 Balance 139,400 Cost of goods sold job 136 84,000 job 138 131,700 balance 215,700