Question.3249 - Instructions: Complete the problems below. This assignment can be completed in either: Microsoft Excel, Word, or hand-written and scanned in PDF format. I prefer Microsoft Excel or Word but will not dock points for PDF format. PART A. For 1-8, identify if the following, when manufactured, would best be accounted for by a job costing system, or process costing system. 1. Apartment Building Construction 2. Post-it Notes 3. Custom wedding invitations 4. Pepsi 5. Light Switch Covers 6. Bic pens 7. CPA firm audit arrangement 8. Universal Studios movie production PART B: For 9-20, complete the following for the manufacturing process based on the following information: Manufacturing Overhead A predetermined overhead rate is used with direct labor costs as the activity base. The company expects annual overhead costs to be $450,000 and direct labor costs for the year to be $800,000. Manufacturing Costs Incurred for the Period The company purchased $40,000 of raw materials on account. Factory labor for the month was $68,000 with $3,500 employer payroll taxes. Manufacturing overhead for the month included the following: Utilities Payable $8,500; Prepaid Insurance $6,000; Accounts Payable for maintenance $7,000; Accumulated Depreciation-Equipment $8,500; Property Taxes Payable $2,400. Assignment of Costs Raw materials used during the month were $34,000 and indirect materials used were $4,000. Direct labor for the month on the time sheets was $62,000 and indirect labor was $2,500. Completed goods for the month cost $98,000 and were all sold on account for $152,000. There was no work in process or finished goods inventory for January 1. 9. Compute the predetermined overhead rate. 10. Prepare the journal entry to record the purchase of raw materials. 11. Prepare the journal entry to record the factory labor for the month. 12. Prepare the journal entry to record the manufacturing overhead for the month. 13. Prepare the journal entry to apply the raw material requisitions to work in process for the month. 14. Prepare the journal entry to apply the time sheets to work in process for the month. 15. Prepare the journal entry to apply the manufacturing overhead to work in process for the month. 16. Prepare the journal entry to transfer work in process to finished goods for the month. 17. Prepare the journal entry to record the sales for the month. 18. Prepare the journal entry to record the amount of under- or over-applied manufacturing overhead? 19. Prepare a Cost of Goods Manufactured Schedule for the period. 20. Prepare a partial income statement for the period showing sales, cost of goods sold, and gross profit.
Answer Below:
Instructions xxxxxxxx the xxxxxxxx below xxxx assignment xxx be xxxxxxxxx in xxxxxx Microsoft xxxxx Word xx hand-written xxx scanned xx PDF xxxxxx I xxxxxx Microsoft xxxxx or xxxx but xxxx not xxxx points xxx PDF xxxxxx PART x For x identify xx the xxxxxxxxx when xxxxxxxxxxxx would xxxx be xxxxxxxxx for xx a xxx costing xxxxxx or xxxxxxx costing xxxxxx Apartment xxxxxxxx Construction xxx Costing xxxxxxx Notes- xxxxxxx Costing xxxxxx wedding xxxxxxxxxxx Job xxxxxxx Pepsi xxxxx Process xxxxxxx Light xxxxxx Covers- xxxxxxx Costing xxx pens xxxxx Process xxxxxxx CPA xxxx audit xxxxxxxxxxxx Job xxxxxxx Universal xxxxxxx movie xxxxxxxxxx Job xxxxxxxxxxx B xxx - xxxxxxxx the xxxxxxxxx for xxx manufacturing xxxxxxx based xx the xxxxxxxxx information xxxxxxxxxxxxx Overhead x predetermined xxxxxxxx rate xx used xxxx direct xxxxx costs xx the xxxxxxxx base xxx company xxxxxxx annual xxxxxxxx costs xx be xxx direct xxxxx costs xxx the xxxx to xx Manufacturing xxxxx Incurred xxx the xxxxxx The xxxxxxx purchased xx raw xxxxxxxxx on xxxxxxx Factory xxxxx for xxx month xxx with xxxxxxxx payroll xxxxx Manufacturing xxxxxxxx for xxx month xxxxxxxx the xxxxxxxxx Utilities xxxxxxx Prepaid xxxxxxxxx Accounts xxxxxxx for xxxxxxxxxxx Accumulated xxxxxxxxxxxxxxxxxxxxxx Property xxxxx Payable xxxxxxxxxx of xxxxx Raw xxxxxxxxx used xxxxxx the xxxxx were xxx indirect xxxxxxxxx used xxxx Direct xxxxx for xxx month xx the xxxx sheets xxx and xxxxxxxx labor xxx Completed xxxxx for xxx month xxxx and xxxx all xxxx on xxxxxxx for xxxxx was xx work xx process xx finished xxxxx inventory xxx January xxxxxxx the xxxxxxxxxxxxx overhead xxxx Estimated xxxxx manufacturing xxxxxxxx cost xxxxxxxxx total xxxxxxxx base xxxxxxx the xxxxxxx entry xx record xxx purchase xx raw xxxxxxxxx Raw xxxxxxxx Account xxxxxxx Prepare xxx journal xxxxx to xxxxxx the xxxxxxx labor xxx the xxxxx Factory xxxxx Factory xxxxx wages xxxxxxxx payroll xxxxx Prepare xxx journal xxxxx to xxxxxx the xxxxxxxxxxxxx overhead xxx the xxxxx Manufacturing xxxxxxxx Utilities xxxxxxx Prepaid xxxxxxxxx Accounts xxxxxxx For xxxxxxx Accumulated xxxxxxxxxxxx Property xxxxx Payable xxxxxxxx material xxxxxxxx labor xxxxxxx the xxxxxxx entry xx apply xxx raw xxxxxxxx requisitions xx work xx process xxx the xxxxx Work xx Process xxxxxxxxx Raw xxxxxxxxx Inventory xxxxxxx the xxxxxxx entry xx apply xxx time xxxxxx to xxxx in xxxxxxx for xxx month xxxx in xxxxxxx Inventory xxxxxx Labor xxxxxxx the xxxxxxx entry xx apply xxx manufacturing xxxxxxxx to xxxx in xxxxxxx for xxx month xxxx in xxxxxxx Inventory xxxxxxxxxxxxx overhead x of xxxxxx labor xxxxx Prepare xxx journal xxxxx to xxxxxxxx work xx process xx finished xxxxx for xxx month xxxxxxxx goods xxxxxxxxx Work xx Process xxxxxxxxx Prepare xxx journal xxxxx to xxxxxx the xxxxx for xxx month xxxxxxx receivables xxxxx Prepare xxx journal xxxxx to xxxxxx the xxxxxx of xxxxxx or xxxxxxxxxxxx manufacturing xxxxxxxx Cost xx goods xxxx Manufacturing xxxxxxxx - xxxxxxx a xxxx of xxxxx Manufactured xxxxxxxx for xxx period xxxx of xxxx manufactured xxxxxxxxxxxxxx materials xxxx Beginning xxx materials xxxxxxxxx - xxxx of xxx materials xxxxxxxxx Less xxxxxx raw xxxxxxxxx inventory x Direct xxxxx Manufacturing xxxxxxxx Utilities xxxxxxx Prepaid xxxxxxxxx Accounts xxxxxxx For xxxxxxx Accumulated xxxxxxxxxxxx Property xxxxx Payable xxxxxxxx material xxxxxxxx labor xxxxx Cost xx goods xxxxxxxxxxxx nbsp xxxxxxx a xxxxxxx income xxxxxxxxx for xxx period xxxxxxx sales xxxx of xxxxx sold xxx gross xxxxxx Partial xxxxxx StatementSales xxxx Cost xx goods xxxx - xxx Opening xxxxxxxxx - xxxx of xxxxx manufactured xxxx Closing xxxxxxxxx - xxxxx profitMore Articles From Accounting
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