Answer:
$1,730
Explanation:
Currently, the job order contains the following costs:
- Direct materials $480
- Direct labor $150
- Manufacturing overhead $600 (or $4 per $1 of direct labor)
Since the manufacturing process still requires $100 more of direct labor, it should also require $400 more of overhead costs. So the total cost of the job order will be:
($480 + $150 + $600) + ($100 + $400) = $1,730
Answer and Explanation:
The summarized journal entry for using the raw material is shown below:
Work in process inventory $3,240 ($920 + $1,600 + $720) Dr
Manufacturing overhead 700 Dr
To Raw material inventory $3,940
(Being the raw material used is recorded)
For recording this we debited the work in process and factory overhead as it increased the assets and expenses and credited the raw material inventory as it decreased the assets
Answer:
Debit Service fees expenses $39
Explanation:
The journal entry is shown below:
Cash account $1,261
Service fees expenses (3% of $1,300) $39
Service revenue $1,300
(Being the cash is recorded)
here cash and expense is debited as it increased the assets and expense and credited the service revenue as it also increased the revenue
Answer:
a) Sales returns and allowances $600
Accounts receivable $600
b) Merchandise inventory $350
Cost of goods sold $350
Explanation:
The Journal entry and their narrations are shown below:-
a. Sales Returns and Allowances Dr, $600
To Accounts Receivable $600
(Being sales return is recorded)
b. Merchandise Inventory Dr, $350
To Cost of Goods Sold $350
(Being merchandise inventory is recorded)