Texts:
1) Record Raw Materials Purchase on credit.
2) Record the requisition of direct materials.
3) Record the indirect materials.
4) Record the entry for direct labor, paid in cash.
5) Record the entry for indirect labor, paid in cash.
6) Record the entry to apply overhead to jobs 136, 138, and 139.
7) Record the transfer of completed jobs 136, 138, and 139 to finished goods.
8) Record the entry for sales on account for jobs 136 and 138.
9) Record the entry for the cost of jobs 136 and 138.
10) Record the entry for the actual overhead costs incurred.
11) Record the entry to apply overhead to jobs 137 and 140 (work in progress).
Required information [The following information applies to the questions displayed below.]
During May, the following information applies:
a. Purchased raw materials on credit, $220,000.
Job 136 Job 137 Job 138 Job 139 Job 140 Total direct materials Indirect materials Total materials requisitions
$48,506 $32,500 $20,000 $22,800 $7,200 $131,006 $19,500 $150,506
Job 136 Job 137 Job 138 Job 139 Job 140 Total direct labor Indirect labor Total labor cost
$12,300 $16,600 $37,500 $39,200 $3,406 $109,006 $26,036 $135,042
d. Applied overhead to Jobs 136, 138, and 139.
e. Transferred Jobs 136, 138, and 139 to Finished Goods Inventory.
f. Sold Jobs 136 and 138 on credit at a total price of $530,000.
g. Recorded the cost of goods sold for Jobs 136 and 138.
h. Incurred the following actual overhead costs during the month:
Depreciation of factory building: $69,500
Depreciation of factory equipment: $37,500
Expired factory insurance: $11,000
Accrued property taxes payable: $36,500
i. Applied overhead at month-end to the Work In Process Inventory account (for Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost.