Job Order Costing Journal Entry Problem: Journal entry problem August 1 Purchased direct materials $1,912 and...

Job Order Costing Journal Entry Problem:

Journal entry problem
August
1	Purchased direct materials $1,912 and $482 in indirect materials on account
3	Requested direct materials costing $ 1,880 and indirect materials of $96 for production
8	Issued checks for overhead costs $295
15	Recorded the following wages direct labor, $ 1,640, indirect labor $760, manufacturing supervision. $240 and sales commissions $198
15	Applied overhead at a rate of 85 percent of direct labor
25	Completed jobs with a cost of $3,880
31	Shipped Job to customer, cost was $1,940 and sale price was $3,000.

Expert Solution

Journal entry

Date	account and explanation	debit	credit
Aug 1	Raw material (1912+482)	2394
	Account payable		2394
	(To record purchase material)

Aug 3	Work in process	1880
	Manufacturing overhead	96
	Raw material		1976
	(to record requisitioned)

Aug 8	Manufacturing overhead	295
	Bank		295
	(To record manufacturing overhead)

Aug 15	Work in process	1640
	Manufacturing overhead (760+240)	1000
	Selling expense	198
	Wages payable		2838
	(To record labor)

Aug 15	Work in process (1640*85%)	1394
	Manufacturing overhead		1394
	(To record applied overhead)

Aug 25	Finished goods	3880
	Work in process		3880
	(To record job completed)

Aug 31	Account receivable	3000
	Sales revenue		3000
	(To record sales)

	Cost of goods sold	1940
	Finished goods		1940
	(To record cost of goods sold)

ekkarill92 answered 1 hour ago

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Job Order Costing Journal Entry Problem: Journal entry problem August 1 Purchased direct materials $1,912 and...

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