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Alex787 [66]
3 years ago
11

Warner Company purchases $50,000 of raw materials on account, and it incurs $60,000 of factory labor costs. Supporting records s

how that (a) the Assembly Department used $24,000 of raw materials and $35,000 of the factory labor, and (b) the Finishing Department used the remainder. Journalize the assignment of the costs to the processing departments on March 31.
Business
1 answer:
andriy [413]3 years ago
4 0

Answer:

WIP Assembly  DEBIT 24,000

WIP Finishing   DEBIT 26,000

Raw materials Inventory CREDIT 50,000

WIP Assembly  DEBIT 35,000

WIP Finishing   DEBIT 25,000

    Wages Payable CREDIT 60,000

Explanation:

Our first goal is to calculate the diference to get the finishing values

50,000 raw materials

assembly 24,000

50,000 - 24,000 = 26,000

Finishing 26,000

60,000 labor cost

Assembly 35,000

60,000 - 35,000 = 25,000

Finishing 25,000

Now we proceed to do the entries:

WIP Assembly  DEBIT 24,000

WIP Finishing   DEBIT 26,000

Raw materials Inventory CREDIT 50,000

WIP Assembly  DEBIT 35,000

WIP Finishing   DEBIT 25,000

    Wages Payable CREDIT 60,000

<u>Important:</u> There is no information about a finished goods or transfer from one process to another, so we should assume both are still in progress and no transfer to either one or finished goods were made.

So the values are transfer to the WIP of each department.

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It is a product design manager
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Prepare the issuer's journal entry for each of the following separate transactions.
jeka57 [31]

Answer:

a.

March 1

Debit  : Cash $318,500

Credit : Common Stock $198,000

Credit : Excess of Par $120,500

<em>Being Issue of Par value Shares for $318,500 cash</em>

b.

April 1

Debit  : Cash $84,000

Credit : Common Stock $84,000

<em>Being Issue of no Par value shares for $84,000 cash</em>

c.

April 6

Debit  : Inventory $53,000

Debit : Note Receivable $103,000

Credit : Common Stock $68,000

Credit : Excess of Par $88,000

<em>Being Issue of Par value Shares for Inventory and Note Receivable</em>

Explanation:

Note: We are instructed to prepare journals from the issuer`s point of view and this needs to be followed.

When shares are issued, the Common Stock increases :

a. For par value Common Stocks, any price paid in excess of par value is accounted in Excess of Par Reserve.

b. For no par value shares, there is no Excess of Par Reserve, we simply record the increase in Common Stock at the price paid for.

3 0
3 years ago
Findell Corporation is considering two projects, A and B, and it has gathered the following estimates for the projects Project A
Vilka [71]

Answer:

a. 1.096

Explanation:

The present value index is the same as the profitablility index(PI), which is computed by dividing the present value of future cash inflows by the initial investment(the present value of cash outflows). A profitability of above 1 means that the project is viable as the numerator(PV of cash inflows) exceeds the denominator( initial cash outlay).

Project A PI index= Present value of cash inflows/Present value of cash outflows

Project A PI index= $84,360/$77,000

Project A PI index= 1.096  

8 0
3 years ago
Which of these changes are planned and based on situations that are expected to arise?
babunello [35]
<span>..(B).. Exponential..</span>
5 0
3 years ago
which of the following entries records the adjustment for revenue earned, but not yet collected? multiple choice debit accounts
Yanka [14]

various options Debit receivables from customers, credit sales. Accounts Receivable is debited and Sales Revenue is credited. Sales revenue is debited and deferred revenue is credit. Debit receivables and credit deferred revenue are the two balances.

<h3> What are debit and credit?</h3>

An accounting entry that decreases an asset or cost account is known as a debit. or reduces an equity or liability account. In an accounting entry, it is placed on the left. An accounting item known as a credit raises a liability or equity account's balance. or lowers an account for an asset or expense.

The money that is placed into your checking account is a credit to the bank even if it is a debit to you (an increase in your asset) because it is not their money. It is your money, and the bank owes it to you, so it is a liability on their books. A credit is an increase in a liability account.

Explain debit and credit with an example:

Debit what comes in, credit what leaves, first. Second, credit all gains and revenue while debiting all expenses. Thirdly, debit the sender and credit the recipient.

<h3>Can you credit revenue and debit accounts receivable?</h3>

An accounts receivable transaction in journal entry form debits accounts receivable and credits a revenue account. Credit accounts receivable (to eliminate the receivable) and debit cash (to show that you have been paid) when your customer pays their invoice.

Debit or Credit Account: As a business owner, your equity grows as a result of your revenue. Revenues must be reported as credits rather than debits because your equity typically has a credit balance.

Revenue from sales is it an accounts receivable?

When a business sells anything, it reports the revenue from the transaction on its income statement. They list the amount owed as accounts receivable on their balance sheet if the consumer hasn't yet paid them for the purchase. The amount indicated on the income statement is offset by accounts receivable.

To know more about Debit or Credit , visit:

brainly.com/question/12269231

#SPJ4

7 0
1 year ago
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