Entries and Schedules for Unfinished Jobs and Completed Jobs Tybee Industries In
ID: 2394354 • Letter: E
Question
Entries and Schedules for Unfinished Jobs and Completed Jobs
Tybee Industries Inc. uses a job order cost system. The following data summarize the operations related to production for January, the first month of operations:
Materials purchased on account, $2,040.
Materials requisitioned and factory labor used:
Factory overhead costs incurred on account, $4,130.
Depreciation of machinery and equipment, $1,620.
The factory overhead rate is $60 per machine hour. Machine hours used:
Jobs completed: 301, 302, 303, and 305.
Jobs were shipped and customers were billed as follows: Job 301, $7,060; Job 302, $8,950; Job 303, $17,080.
Required:
1. Journalize the entries to record the summarized operations. For a compound transaction, if an amount box does not require an entry, leave it blank.
2. Post the appropriate entries to T accounts for Work in Process and Finished Goods, using the identifying letters as transaction codes. Insert memo account balances as of the end of the month.
3. Prepare a schedule of unfinished jobs to support the balance in the work in process account.
4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account.
Job Materials Factory Labor 301 $2,160 $2,280 302 2,640 3,080 303 1,750 1,500 304 5,920 5,650 305 3,760 4,310 306 2,740 2,740 For general factory use 730 3,370Explanation / Answer
Direct Direct Overhead total Job materials labor applied 301 2,160 2,280 1440 5,880 302 2,640 3,080 1740 7,460 303 1,750 1,500 2640 5,890 304 5,920 5,650 5100 16,670 305 3,760 4,310 1740 9,810 306 2,740 2,740 2460 7,940 total 18,970 19,560 15120 53,650 total cost of jobs completed jobs 301 5,880 302 7,460 303 5,890 305 9,810 total cost of jobs completed 29,040 cost of jobs sold and sale price jobs COGS Sale 301 5,880 7,060 302 7,460 8,950 303 5,890 17,080 total 19,230 33,090 1) Journal Entries Account titles & Explanations Debit Credit a) Raw materials inventory 2,040 Accounts payable 2,040 b) Work in process inventory 38,530 Factory overhead 4,100 Raw materials invetory 19,700 Factory wages payable 22,930 c) Factory overhead 4,130 accounts payable 4,130 d) Factory overhead 1,620 Accumulated depreciation 1,620 e) work in process inventory 15120 Factory overhead 15120 f) finished goods inventory 29,040 work in process inventory 29,040 g) accounts receivable 33,090 sales 33,090 Cost of goods sold 19,230 Finished goods inventory 19,230 2) T-Account work in process inventory b) 38,530 f) 29,040 e) 15120 end bal 24,610 (note entry b includes DM and DL if required u can show separately) finished goods inventory f) 29,040 g) 19,230 end bal 9,810 3) Schedule of unfinished jobs Direct Direct Overhead total Job materials labor applied 304 5,920 5,650 5100 16,670 306 2,740 2,740 2460 7,940 total 24,610 4) Schedule of finished jobs Direct Direct Overhead total Job materials labor applied 305 3,760 4,310 1740 9,810
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