Chapter 4 - Full Student Version

Finished finished goods manufacturing overhead any

Info iconThis preview shows page 1. Sign up to view the full content.

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

Unformatted text preview: ufacturing Overhead  Any unit in an organization where materials, labour, or overhead are added to the product. Costs are traced and applied to departments in a process cost system. Direct Materials 4-6 Cost of Goods Sold LO 1 LO 1 4-7 4-8 W d :  s   & d & Z D & d For purposes of this example, assume there are two processing departments – Departments A and B. We We will use T-accounts and accounts journal journal entries. Raw Materials •Direct Materials Work in Process Department A •Direct Materials Work in Process Department B •Direct Materials LO 1 LO 1 4-9 W  & d & > 4-10 W K  d  &  d Work in Process Department A •Direct Materials •Direct Labour Labour •Direct Labour D d Work in Process Department A Salaries and Wages Payable & •Direct Materials •Direct Labour Labour •Applied Overhead Manufacturing Overhead •Actual Overhead •Overhead Applied to Work in Process Work in Process Department B Work in Process Department B •Direct Materials •Direct Labour •Direct Materials •Direct Labour •Applied Overhead LO 1 LO 1 4-11 W  t/W  &  d 4-12 W  & d Work in Process Department A •Direct Transferred Materials t...
View Full Document

Ask a homework question - tutors are online