Answer:
<em>a. raw materials purchases</em>
raw materials 505,000 debit
account payable 505,000 credit
<em>b. direct materials usage</em>
Weaving WIP 304,000 debit
Sewing WIP 84,000 debit
Raw Materials 388,000 credit
<em>c. indirect materials usage</em>
Factory overhead 164,000 debit
Raw Materials 164,000 credit
<em>d. direct labor usage</em>
Weaving WIP 1,275,000 debit
Sewing WIP 485,000 debit
Wages Payables 1,760,000 credit
<em>e . indirect labor usage</em>
Factory overhead 1,525,000 debit
Wages Payables 1,525,000 credit
<em>f. other overhead costs</em>
Factory Overhead 186,000 debit
Other Account Payable 186,000 credit
<em>g. overhead applied</em>
Weaving WIP 1,083,750 debit
Sewing WIP 751,750 debit
factory Overhead 1,760,000 credit
<em>h. payment of total wages costs.</em>
Wages Payable 3,285,000 debit
Cash 3,285,000 credit
Explanation:
the direct cost is assigned to each department while the indirect cost into factory overhead
g) overhead calculations:
Weaving $1,275,000 labor x 85% = 1,083,750
Sewing $ 485,000 labor x 155% =<u> 751,750</u>
Total applied overehead: 1,835,500
h) total wages cost:
Wages payable T-account
DEBIT CREDIT
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d) 1,760,000
e) <u> 1,525,000</u>
Balance 3,285,000
