Entries Accounts payable Cost of goods sold Factory overhead Factory wages payable Other accounts Raw materials...

Entries

Accounts payable
Cost of goods sold
Factory overhead
Factory wages payable
Other accounts
Raw materials inventory
Work in process inventory

Starr Company reports the following information for August.


Raw materials purchased on account	$	85,800
Direct materials used in production	$	52,400
Factory wages earned (direct labor)	$	17,300
Overhead rate		125	% of direct labor cost

Prepare journal entries to record the following events.

Raw materials purchased.
Direct materials used in production.
Direct labor used in production.
Applied overhead.

Journal entry worksheet

Record raw materials purchased on account.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
1

Journal entry worksheet

Record the entry to assign direct materials to jobs.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
2

Journal entry worksheet

Record the entry to assign direct labor to jobs.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
3

Journal entry worksheet

Record the application of overhead to work in process.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
4

Solutions

Expert Solution

Transaction	Accounts Titles and Explanation	Debit	Credit
1	Raw materials inventory	$ 85,800
	Accounts payable		$ 85,800
	(To record the purchase of raw materials on Account)

2	Work in process inventory	$ 52,400
	Raw materials inventory		$ 52,400
	(To record the materials used in Production)

3	Work in process inventory	$ 17,300
	Wages Payable		$ 17,300
	(To record the direct labor used in Production)

4	Work in process inventory	$ 21,625
	Maufacturing overhead ( $ 17,300 x 125% )		$ 21,625
	(To record the applied overhead )

ekkarill92 answered 1 year ago

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