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

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

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