Answer:
Explanation:
The journal entries are shown below:
1. Raw material A/c Dr $78,000
To Accounts payable A/c $78,000
(Being raw material purchased)
2. Work in progress A/c Dr $68,000
Manufacturing overhead A/c Dr $10,000
To Raw material A/c $78,000
(Being raw material allocated)
3. Labor wages A/c Dr $126,500
To Cash A/c $126,500
(Being labor wages are paid in cash)
4. Work in progress A/c Dr $104,200
Manufacturing overhead A/c Dr $22,300
To Labor wages payable A/c $126,500
(Being labor wages are allocated)
5. Depreciation A/c $194,000
To Factory Equipment $194,000
(Being depreciation is charged on factory equipment)
