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Exercise 3-2 Harrelson Company manufactures pizza sauce through two production d

ID: 2408137 • Letter: E

Question

Exercise 3-2 Harrelson Company manufactures pizza sauce through two production departments: Cooking and Canning. In each process, materials and conversion costs are incurred evenly throughout the process. For the month of April, the work in process accounts show the following debits. Cooking Canning Beginning work in process Materials Labor Overhead Costs transferred in $0 24,700 9,550 32,800 $4,240 9,800 7,440 27,100 55,000 Journalize the April transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation April 30 Debit Credit

Explanation / Answer

Journal entry :

D

Date accounts & explanation debit credit Apr30 Work in process-Cooking 24700 Work in process-Canning 9800      Materials 34500 (To record materials used) Apr 30 Work in process-Cooking 9550 Work in process-Canning 7440     Wages payable 16990 (To record labour) Apr 30 Work in process-Cooking 32800 Work in process-Canning 27100     Manufacturing overhead 59900 (TO assign overhead to production) Apr 30 Work in process-Canning 55000 Work in process-Cooking 55000 (To record costs transferred in)