Entries for Costs in a Job Order Cost System
Journalize the entries to record the summarizedoperations. For a compound transaction, if an amount box does notrequire an entry, leave it blank.
Royal Technology Company uses a job order cost system. Thefollowing data summarize the operations related to production forMarch:
Materials purchased on account, $770,000.
Materials requisitioned, $680,000, of which $75,800 was forgeneral factory use.
Factory labor used, $756,000, of which $182,000 wasindirect.
Other costs incurred on account for factory overhead, $245,000;selling expenses, $171,500; and administrative expenses,$110,600.
Prepaid expenses expired for factory overhead, $24,500; forselling expenses, $28,420; and for administrative expenses,$16,660.
Depreciation of factory equipment was $49,500; of officeequipment, $61,800; and of office building, $14,900.
Factory overhead costs applied to jobs, $568,500.
Jobs completed, $1,500,000.
Cost of goods sold, $1,375,000.
Entries for Costs in a Job Order Cost System
Journalize the entries to record the summarizedoperations. For a compound transaction, if an amount box does notrequire an entry, leave it blank.
Royal Technology Company uses a job order cost system. Thefollowing data summarize the operations related to production forMarch:
Materials purchased on account, $770,000.
Materials requisitioned, $680,000, of which $75,800 was forgeneral factory use.
Factory labor used, $756,000, of which $182,000 wasindirect.
Other costs incurred on account for factory overhead, $245,000;selling expenses, $171,500; and administrative expenses,$110,600.
Prepaid expenses expired for factory overhead, $24,500; forselling expenses, $28,420; and for administrative expenses,$16,660.
Depreciation of factory equipment was $49,500; of officeequipment, $61,800; and of office building, $14,900.
Factory overhead costs applied to jobs, $568,500.
Jobs completed, $1,500,000.
Cost of goods sold, $1,375,000.