FAP3 - GeneralJournal 1.Oct2240,$12.80 perunit....

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Financial Accounting Problem 3  Basic Manufacturing Transactions                                                                                 General Journal Transaction Description Date Debit Credit 1. Oct 2   240,000 units of material X were purchased at $12.80    per unit.  An inspection revealed that the cost of spoilage    was $123,840.   Material spoilage should be charged to      Overhead.   10/2 10/2 Materials X Purchases     A/P Variable Manufacturing OH (Spoilage)      Materials X Purchases 3,072,000 123,840 3,072000 123,840 2.  Oct. 4 120,000 units of material Y was purchased at $16 per unit. 10/4 Materials Y Purchases      Accounts Payable 1,920,000 1,920,000 3.  Oct. 6  Freight bill (FOB shipping point) on the shipment of  Material X for $23,040 was received  and will be paid later. 10/6 Freight-in Material X      Accounts Payable 23,040 23,040 4.  Nov.15 Factory labor incurred for the first half of the quarter  was as follows:                            Cutting department                       - $696,960                           Assembling department                - $696,960                           Finishing department                    - $475,000
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page1 / 3

FAP3 - GeneralJournal 1.Oct2240,$12.80 perunit....

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online