Chapt 4 Answers for Video Exercises and Problems.docx - Chapt 4 \u2013 Answers for Video Exercises and Problems 4 30 35 24 22 36 43 40 4-30 Journal entries

Chapt 4 Answers for Video Exercises and Problems.docx -...

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Chapt 4 – Answers for Video Exercises and Problems 4- 30, 35, 24, 22, 36, 43, 40 4-30 Journal entries, T-accounts, and source documents SOLUTION Journal entries, T-accounts, and source documents . 1. (1) Direct Materials Control 121,000 Accounts Payable Control 121,000 Source Document: Purchase Invoice, Receiving Report Subsidiary Ledger: Direct Materials Record, Accounts Payable (2) Work in Process Control a 112,400 Direct Materials Control 112,400 Source Document: Material Requisition Records, Job Cost Record Subsidiary Ledger: Direct Materials Record, Work-in-Process Inventory Records by Jobs (3) Work in Process Control 87,000 Manufacturing Overhead Control 54,400 Wages Payable Control 141,400 Source Document: Labor Time Sheets, Job Cost Records Subsidiary Ledger: Manufacturing Overhead Records, Employee Labor Records, Work-in-Process Inventory Records by Jobs (4) Manufacturing Overhead Control 207,100 Salaries Payable Control 46,000 Accounts Payable Control 9,100 Accumulated Depreciation Control 53,000 Rent Payable Control 99,000 Source Document: Depreciation Schedule, Rent Schedule, Maintenance wages due, Invoices for miscellaneous factory overhead items Subsidiary Ledger: Manufacturing Overhead Records (5) Work in Process Control 269,700 Manufacturing Overhead Allocated 269,700 ($87,000 $3.10) Source Document: Labor Time Sheets, Job Cost Record Subsidiary Ledger: Work-in-Process Inventory Records by Jobs (6) Finished Goods Control b 449,600 Work in Process Control 449,600 Source Document: Job Cost Record, Completed Job Cost Record Subsidiary Ledger: Work-in-Process Inventory Records by Jobs, Finished Goods Inventory Records by Jobs 1
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(7) Cost of Goods Sold c 478,600 Finished Goods Control 478,600 Source Document: Sales Invoice, Completed Job Cost Record Subsidiary Ledger: Finished Goods Inventory Records by Jobs (8) Manufacturing Overhead Allocated 269,700 Manufacturing Overhead Control ($54,400 + $207,100) 261,500 Cost of Goods Sold 8,200 Source Document: Prior Journal Entries (9) Administrative Expenses 7,700 Marketing Expenses 136,000 Salaries Payable Control 39,000 Accounts Payable Control 97,000 Accumulated Depreciation, Office Equipment 7,700 Source Document: Depreciation Schedule, Marketing Payroll Request, Invoice for Advertising, Sales Commission Schedule. Subsidiary Ledger: Employee Salary Records, Administration Cost Records, Marketing Cost Records. a Materials used = Beginning direct materials inventory + Purchases – Ending direct materials inventory = $9,400 + $121,000 $18,000 = $112,400 b Cost of goods manufactured = Beginning WIP inventory + Manufacturing cost Ending WIP inventory = $6,500 + ($112,400 + $87,000 + $269,700) $26,000 = $449,600 c Cost of goods sold = Beginning finished goods inventory + Cost of goods manufactured Ending finished goods inventory = $60,000 + $449,600 $31,000 = $478,600 2. T-accounts Direct Materials Control Bal. 1/1/2017 (1) Accounts Payable Control (Purchases) 9,400 121,000 (2) Work-in-Process Control (Materials used) 112,400 Bal. 12/31/2017 18,000 2
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Work-in-Process Control Bal. 1/1/2017 (2) Materials Control (Direct materials used) (3) Wages Payable Control (Direct manuf. labor) (5) Manuf. Overhead Allocated 6,500 112,400 87,000 269,700 (6) Finished Goods Control (Cost of goods manufactured) 449,600 Bal. 12/31/2017 26,000 Finished Goods Control Bal. 1/1/2017 (6) WIP Control (Cost of goods manuf.) 60,000 449,600 (7) Cost of Goods Sold 478,600 Bal. 12/31/2017 31,000 Cost of Goods Sold (7)
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