for Rey Writer

Farina Bay’s computer system
generated the following trial balance on December 31, 2013. The company’s manager knows something is wrong with the trial balance because it does not show any balance for Goods in Process Inventory
but does show balances for the Factory Payroll and Factory Overhead accounts.

     Debit

  

Credit

 

  Cash

$

45,000

       Accounts receivable

 

3

9,000

       Raw materials inventory

 

24,500

       Goods in process inventory

 0       Finished goods inventory

 9,000       Prepaid rent

 

3,000

       Accounts payable

   $

11,100

    Notes payable

    

14,100

    Common stock

    

30,000

    Retained earnings

    

93,000

    Sales

    

162,300

    Cost of goods sold

 

106,000

       Factory payroll

 

18,000

       Factory overhead

 

28,000

       Operating expenses

 

38,000

       

    

  Totals

$

310,500

 $310,500 

      

After examining various files, the manager identifies the following six source documents that need to be processed to bring the accounting records up to date.

  

  

 $

 $

 $

 $3,000

 $

 $3,000

Materials requisition 21-3010:	4,300	direct materials to Job 402
Materials requisition 21-3011:	7,600	direct materials to Job 404
Materials requisition 21-3012:	1,700	indirect materials
Labor time ticket 6052:	direct labor to Job 402
Labor time ticket 6053:	12,000	direct labor to Job 404
Labor time ticket 6054:	indirect labor

  

Jobs 402 and 404 are the only units in process at year-end. The predetermined overhead rate is 200% of direct labor cost.

 8.value:1.50 points  

a.

b.

c.

d.

e.

Direct materials costs to Goods in Process Inventory.

Direct labor costs to Goods in Process Inventory.

Overhead costs to Goods in Process Inventory.

Indirect materials costs to the Factory Overhead account.

Indirect labor costs to the Factory Overhead account.

  

1.

  

Required:

Prepare journal entries to assign the above costs.  Record direct materials costs for Jobs 402 and 404.2.Record direct labor costs for Jobs 402 and 404.3.Record the entry to allocate overheads to Jobs 402 and 404 at 200% of direct labor costs assigned.4.Record entry to assign cost of indirect materials.5.Record entry to assign cost of indirect labor