18. Mocha Company manufactures a single product by a continuous process, involvi

Question

18. Mocha Company manufactures a single product by a continuous process, involving three production departments. The records indicate that direct materials, direct labor, and applied factory overhead for Department I were $180,000, $160,000, and $140,000, respectively. The records further indicate that direct materials, direct labor, and applied factory overhead for Department 2 were $57,000, $61,000, and $84,000, respectively. In addition, work in process at the beginning of the period for Department I totaled $78.000, and work in process at the end of the period totaled $64,000. The jounal entry to record the flow of costs into Department I during the period for direct materials is? 19. Mocha Company manufactures a single product by a continuous process, involving three production departments. The records indicate that direct materials, direct labor, and applied factory overhead for Department 1 were $140,000, $136,000, and $128,000, respectively. The records further indicate that direct materials, direct labor, and applied factory overhead for Department 2 were $55,000, $65,000, and $80,000, respectively. In addition, work in process at the beginning of the period for Department I totaled $75,000, and work in process at the end of the period totaled $60,000 The journal entry to record the flow of costs into Department 2 for direct labor is? 20. How does lean manufacturing improve quality and eliminate time? 21. Identify a company that would use a process cost system. uction cos ts from Department A to Department B.

Explanation / Answer

Ans18.

Journal Entry for Material for Department 1

Work in Process - Department 1 ...DR 180000

Inventory-Raw Material ..........CR 180000

Ans 19.

Journal Entry for Labour cost for Department 2

Work in Process - Department 2 ...DR 65000

Salary/Wages Payable...................CR  65000

Ans 20

Quality Improvement - Main focus in lean manufacturing is on improving the quality.As soon as any error arises , proper root cause analytics is performed and proofing is done.The result in improvement in quality

Time Elimination - This is achieved by strictly following the stnadrd ways of working by each person.This ensures each person is following the standard path of activity execution every time.

Ans 21

Companies producing standardized products in huge quantity.Wrigley Corporation (chewing gum makesr ) would use process cost system.Other companies could be refineries,paint and chemical companies.

Ans 22

Journal Entry for transferring production costs from Department A to department B

WIP_Department B.......DR

WIP_Department A.......CR

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.