1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Lena [83]
3 years ago
14

Schrager Company has two production departments: Cutting and Assembly. July 1 inventories are Raw Materials $4,300, Work in Proc

essâCutting $3,000, Work in ProcessâAssembly $10,700, and Finished Goods $32,000. During July, the following transactions occurred.
1. Purchased $62,600 of raw materials on account.
2. Incurred $60,100 of factory labor. (Credit Wages Payable.)
3. Incurred $71,000 of manufacturing overhead; $41,000 was paid and the remainder is unpaid.
4. Requisitioned materials for Cutting $15,800 and Assembly $9,000.
5. Used factory labor for Cutting $33,100 and Assembly $27,000.
6. Applied overhead at the rate of $19 per machine hour. Machine hours were Cutting 1,690 and Assembly 1,750.
7. Transferred goods costing $67,700 from the Cutting Department to the Assembly Department.
8. Transferred goods costing $135,000 from Assembly to Finished Goods.
9. Sold goods costing $151,000 for $201,000 on account.

Required:
Journalize the transactions.
Business
1 answer:
Semmy [17]3 years ago
8 0

Answer:

Item 1

Debit : Raw Materials $62,600

Credit : Accounts Payable $62,600

Item 2

Debit :  Wages expense $60,100

Credit : Wages Payable $60,100

Item 3

Debit : Overhead expenses $71,000

Credit : Cash $41,000

Credit : Accounts Payable $30,000

Item 4

Debit : Work in Process - Cutting $15,800

Debit : Work in Process - Cutting $9,000

Credit : Raw Materials $24,800

Item 5

Debit : Work In Process - Cutting $33,100

Debit : Work In Process - Assembly $27,000

Credit : Wages Expense $60,100

Item 6

Debit : Work in Process - Cutting  $32,110

Debit : Work in Process - Assembly $33,250

Credit : Overheads  $65,360

Item 7

Debit : Work in Process - Assembly Department $67,700

Credit : Work in Process - Cutting Department $67,700

Item 8

Debit : Finished Goods Inventory $135,000

Credit : Work in Process - Assembly Department $135,000

Item 9

Debit : Accounts Receivable $201,000

Debit : Cost of Sales $151,000

Credit : Sales Revenue $201,000

Credit : Finished Goods Inventory $151,000

Explanation:

<u>When Costs are Incurred :</u>

Debit the Account to which cost is accumulating and Credit cash when the cash is paid or Accounts Payable when there is no immediate payment.

<u>When items are used in Production :</u>

Debit the Work in Process Account to which the cost relates to and Credit the Account attached to that cost.

<u>When there is a transfer :</u>

Debit the Work in Process Account to which the items are flowing to and Credit the Work in Process Account from which the items are flowing.

You might be interested in
In which situation would a savings account be the be investment to earn interest
Amanda [17]
When interest rates go up
7 0
2 years ago
I got this question on my quiz a few weeks ago and was wondering if anyone could explain the best/correct answer.
Anon25 [30]

Answer:

Easy it's B, this is because the rate at which we earn interest with only 1000$ does not keep up with the maintenance fee.

In B u get $1010 because of the interest after the first year,

In D u get $960 because if u get an annual interest of 2% from $1000 u get a total of $1020 but deduction from maintenance fee is $60 per year, Thus $1020-$60 = $960. Same explaination for the others as well.

4 0
1 year ago
An investment offers a total return of 18 percent over the coming year. Janice Yellen thinks the total real return on this inves
Nadusha1986 [10]

Answer: Janice believe the inflation rate will be over 4%.

Explanation:

The expected return is 18% but Janice is thinking the return will be 14% because she is discounting the inflation which is 4%. She expects to receive 14% net rate (18%-14%= 4%).

7 0
2 years ago
What is a primary concern when planning wlan deployments within the government vertical market?
defon

The primary concern is security.

5 0
2 years ago
In the Shaping Department of Vaughn Company the unit materials cost is $6.00 and the unit conversion cost is $2.00. The departme
Oksanka [162]

Answer: $31200

Explanation:

Based on the information given in the question, the total cost to be assigned to the ending work in process will be:

Material cost = 4800 × $6 = $28800

Conversion cost = 4800 × 25% × $2 = $2400

Therefore, the total cost to be assigned to the ending work in process will be:

= $28800 + $2400

= $31200

5 0
2 years ago
Other questions:
  • ​in a simple economy of five producers and five consumers, there would be ____ transactions possible without an intermediary and
    5·1 answer
  • Which describes a type of tax that funds city programs?
    7·1 answer
  • Exercise 16-12 Determining the payback period LO 16-4 Fanning Airline Company is considering expanding its territory. The compan
    5·1 answer
  • "925,000" jackson county senior services is a nonprofit organization devoted to providing essential services to seniors who live
    12·1 answer
  • Let's try to determine the cost function for another company like ABC who makes sausages. Assume costs are as follows:
    7·1 answer
  • On June 2, 2018, Fred’s TV Sales sold Mark a large HD TV on account for $12,000. Fred’s TV Sales uses the accrual method. In 201
    15·2 answers
  • A new per unit subsidy for almond production in the United States increases the world supply of almonds. If almonds are inelasti
    12·1 answer
  • What are personal, property, and liability risks? What are examples of personal, property, and liability risk?
    5·1 answer
  • When wages per unit of time go up but flow rate stays the same, what happens to the costs of direct labor
    13·1 answer
  • According to the menu cost theory, firms will be slow in changing their prices because:
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!