The following costs were incurred during the year by Hopefully Þepreciation of factory machines Oil used to lubricate factory machines Promotional expenses Raw materials used Repair of factory machines Salary of factory superintendent Wages of factory workers Salary of factory clerk Transportation cost of salesmen Packaging materials in the store P24,000 12,000 28,000 350,000 49,000 60,000 120,000 40,000 38,000 26,000 Gas/oil expenses of the general manager 80,000 33,000 Product warranty expense prod

The following costs were incurred during the year by Hopefully Þepreciation of factory machines Oil used to lubricate factory machines Promotional expenses Raw materials used Repair of factory machines Salary of factory superintendent Wages of factory workers Salary of factory clerk Transportation cost of salesmen Packaging materials in the store P24,000 12,000 28,000 350,000 49,000 60,000 120,000 40,000 38,000 26,000 Gas/oil expenses of the general manager 80,000 33,000 Product warranty expense prod

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter16: Job Order Costing

Section: Chapter Questions

Problem 2E: The following information is available for the first year of operations of Creston Inc., a...

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Davis Co. uses backflush costing to account for its manufacturing costs. The trigger points are the purchase of materials, the completion of goods, and the sale of goods. Prepare journal entries to account for the following: a. Purchased raw materials, on account, 70,000. b. Requisitioned raw materials to production, 70,000. c. Distributed direct labor costs, 15,000. d. Factory overhead costs incurred, 45,000. (Use Various Credits for the account in the credit part of the entry.) e. Completed all of the production started. f. Sold the completed production for 195,000, on account. (Hint: Use a single account for raw materials and work in process.)
Kenkel, Ltd. uses backflush costing to account for its manufacturing costs. The trigger points are the purchase of materials, the completion of goods, and the sale of goods. Prepare journal entries to account for the following: a. Purchased raw materials, on account, 80,000. b. Requisitioned raw materials to production, 80,000. c. Distributed direct labor costs, 10,000. d. Factory overhead costs incurred, 60,000. (Use Various Credits for the account in the credit part of the entry.) e. Completed all of the production started. f. Sold the completed production for 225,000, on account.
Conversion costs include all of the following except: A. wages of production workers B. depreciation on factory equipment C. factory utilities D. direct materials purchased
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The following information is available for the first year of operations of Creston Inc., a manufacturer of fabricating equipment: Determine the following amounts: a. Cost of goods sold b. Direct materials cost c. Direct labor cost
Selected information from Skylar Studios shows the following: Prepare journal entries to record the following: raw material purchased direct labor incurred depreciation expense (hint: this is part of manufacturing overhead) raw materials used overhead applied on the basis of $0.50 per machine hour the transfer from department 1 to department 2
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