Answer:
The question is incomplete. Missing Portion is written as bold in explanation.
Explanation:
Required:
1. Prepare journal entries to record the transactions given above.
2. Prepare T-accounts for Manufacturing Overhead and Work in Process. Post the relevant transactions from above to each account. Compute the ending balance in each account, assuming that Work in Process has a beginning balance of $37,000.
Account Dr Cr
1.Raw materials 209000
Account payable-Liability 209000
The Materials are purchased in credit.
2. Work In Process 152000
Manufacturing Overhead 38000
Raw materials 190000
Entry for Materials used in Production.
3. Work In Process 48000
Manufacturing Overhead 22000
Salaries payable 70000
4.Manufacturing Overhead 104000
Depreciation 104000
5. Manufacturing Overhead 131000
Account payable 131000
6.Work In Process 686700 ( 9 x 76300= 686700)
Manufacturing Overhead 686700
7.Finished Goods 512000
Work In Process 512000
8.Cost of goods sold 449000
Finished Goods 449000
Accounts Receivable 547780
Sales Revenue 547780
**Sales - Cost of job * 1.22 (22 % above cost)
2. T-accounts for Manufacturing Overhead and Work in Process.
Manufacturing overhead
Dr Cr
22000 686700
38000
104000
<u> 131000 </u>
Ending balance 391700 - Favorable
Work In process
Dr Cr
beginning bal. 37000
152000
48000 512000
<u> 686700 </u>
Ending balance 411700
