Required information [The following information applies to the questions displayed below.] Information on Kwon Manufacturing's activities for its first month of operations follows: a. Purchased $100,500 of raw materials on credit. b. Materials requisitions show the following materials used for the month. $ 48,700 24,100 72,800 9,120 Job 201 Job 202 Total direct materials Indirect materials Total materials used $ 81,920 c. Time tickets show the following labor used for the month. Job 201 $ 39,700 13,100 52,800 24,700 $ 77,500 Job 202 Total direct labor Indirect labor Total labor used d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate is 80% of direct materials cost. e. Transferred Job 201 to Finished Goods Inventory. f. (1) Sold Job 201 for $165,260 on credit. (2) Record cost of goods sold for Job 201. g. Incurred the following actual other overhead costs for the month. $ 32,500 Depreciation of factory equipment Rent on factory building (payable) Factory utilities (payable) Expired factory insurance 550 850 3,500 Total other factory overhead costs $ 37,400 Post entries for transactions a through g to the T-accounts. Each of T-accounts started the month with a zero balance.

Required information [The following information applies to the questions displayed below.] Information on Kwon Manufacturing's activities for its first month of operations follows: a. Purchased $100,500 of raw materials on credit. b. Materials requisitions show the following materials used for the month. $ 48,700 24,100 72,800 9,120 Job 201 Job 202 Total direct materials Indirect materials Total materials used $ 81,920 c. Time tickets show the following labor used for the month. Job 201 $ 39,700 13,100 52,800 24,700 $ 77,500 Job 202 Total direct labor Indirect labor Total labor used d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate is 80% of direct materials cost. e. Transferred Job 201 to Finished Goods Inventory. f. (1) Sold Job 201 for $165,260 on credit. (2) Record cost of goods sold for Job 201. g. Incurred the following actual other overhead costs for the month. $ 32,500 Depreciation of factory equipment Rent on factory building (payable) Factory utilities (payable) Expired factory insurance 550 850 3,500 Total other factory overhead costs $ 37,400 Post entries for transactions a through g to the T-accounts. Each of T-accounts started the month with a zero balance.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 12PB: The following data summarize the operations during the year. Prepare a journal entry for each...

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