Question

✓ 3. Work in Process balance, $11,840 EXCEL TEMPLATE 301 304 .pdf (174 KB) Page 5 of 5 ZOOM + PR 16-2A Entries and schedules for unfinished jobs and completed jobs Kurtz Fencing Inc. uses a job order cost system. The following data summarize the operations Obj. 2 related to production for March, the first month of operations: a. Materials purchased on account. $45,000. b. Materials requisitioned and factory labor used: Job Materials Factory Labor $1,850 $2,500 302 3,150 7,220 303 2,200 5,350 1,800 2,400 4,230 306 1,770 2,900 For general factory use 1,200 5,000 c Factory overhead costs incurred on account, $1,800. d. Depreciation of machinery and equipment, $2.500. e. The factory overhead rate is $30 per machine hour. Machine hours used: Job Machine Hours 301 30 302 60 303 41 304 305 306 36 Total 305 6,225 63 70 300 f Jobs completed: 301, 302, 303, and 305 Next →

Answer 1

Answer:-

1.   

A.

Materials	45,000
Accounts Payable		45,000

B.

Work in Process	41,595
Factory Overhead	6,200
Materials		16,200
Wages Payable		31,595

C.

Factory Overhead	1,800
Accounts Payable		1,800

D.

Factory Overhead	2,500
Accumulated Depreciation—Machinery
and Equipment		2,500

E.

Work in Process	9,000
Factory Overhead (300 hours x $30)		9,000

F.

Finished Goods	38,755
Work in Process		38,755

2.

Job	Direct Materials	Direct Labor	Factory Overhead	Total
No. 301.....	$1,850	$2,500	$ 900	$ 5,250
No. 302.	3,150	7,220	1,800	12,170
No. 303.	2,200	5,350	1,230	8,780
No. 305.	4,230	6,225	2,100	12,555
Total...				$38,755

G.

Accounts Receivable	38,050
Sales		38,050
Cost of Goods Sold	26,200
Finished Goods		26,200

Computation of cost of jobs sold:

Job

No. 301…………………………………… $ 5,250

No. 302………………………………… 12,170

No. 303…………………………………… 8,780

Total……………………………………… $26,200

2.

	Work in Process		Finished	Goods
(B)	41,595	(F)	38,755 (F)	38,755	(G)	26,200
(E)	9,000
Bal.	11,840		Bal.	12,555

3. Schedule of unfinished jobs:

Job	Direct Materials	Direct Labor	Factory Overhead	Total
No. 304....................................... No. 306....................................... Balance of Work in Process, January 30...............................	$1,800 1,770	$2,400 2,900	$1,890 1,080	$ 6,090 5,750 $11,840

4.

Job	Direct Materials	Direct Labor	Factory Overhead	Total
No. 304....................................... No. 306....................................... Balance of Work in Process, January 30...............................	$1,800 1,770	$2,400 2,900	$1,890 1,080	$ 6,090 5,750 $11,840