Answer:
raw materials 16,940 debit
account payable 16,940 credit
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WIP 38,528 debit
wages payable 32,281 credit
payroll taxes payable 6,247 credit
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Factory Overhead 13,438 debit
utilities payable 3,108 credit
prepaid property taxes 2,008 credit
accumulated dep-building 8,322 credit
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Explanation:
(A) as the purchase is on account we use account payable
(B) we declare each payable amount and capitalized through work in process account
(C)this are actual overhead cost so we debit overhead to later compare with the applied overhead (credit) and solve for applied or underapplied overhead.
Also, we credit the payable utilities, decrease the prepaid for the expired amount and increase the accumulated depreciaiton in the facotry building.
