Question

Entries and Schedules for Unfinished Jobs and Completed Jobs

Hildreth Company uses a job order cost system. The following data summarize the operations related to production for April, the first month of operations:

Materials purchased on account, $2,920.

Materials requisitioned and factory labor used:

Job No.MaterialsFactory Labor

101$2,850 $2,940

1023,480 3,970

1032,310 1,940

1047,810 7,290

1054,960 5,560

1063,620 3,530

For general factory use970 4,350

Factory overhead costs incurred on account, $5,440.

Depreciation of machinery and equipment, $2,090.

The factory overhead rate is $60 per machine hour. Machine hours used:

Job No.Machine Hours

101 20

102 44

103 35

104 78

105 23

106 38

Total 238

Jobs completed: 101, 102, 103, and 105.

Jobs were shipped and customers were billed as follows: Job 101, $8,390; Job 102, $12,110; Job 105, $18,420.

Required:

1. Journalize the entries to record the summarized operations. If an amount box does not require an entry, leave it blank.

EntriesDescriptionDebitCredit

a.Materials

Accounts Payable

    

b.Work in Process

Factory Overhead

Materials

Wages Payable

    

c.Factory Overhead

Accounts Payable

    

d.Factory Overhead

Accumulated Depreciation-Machinery and Equipment

    

e.Work in Process

Factory Overhead

    

f.Finished Goods

Work in Process

    

g. SaleAccounts Receivable

Sales

    

g. CostCost of Goods Sold

Finished Goods

2. Post the appropriate entries to T accounts for Work in Process and Finished Goods, using the identifying letters as transaction codes. Insert memo account balances as of the end of the month.

Work in Process

(b) (f)

(e)   

Bal.  

Finished Goods

(f) (g)

Bal.  

3. Prepare a schedule of unfinished jobs to support the balance in the work in process account.

Hildreth Company
Schedule of Unfinished Jobs

JobDirect MaterialsDirect LaborFactory OverheadTotal

No. 104 $$$$

No. 106     

Balance of Work in Process, April 30$

4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account.

Hildreth Company
Schedule of Completed Jobs

JobDirect MaterialsDirect LaborFactory OverheadTotal

Finished Goods, April 30 (Job 103) $$$$

Answer 1

job sheet
		Materials	labor	overhead	total
job 101		2,850	2,940	1200	6,990
job 102		3,480	3,970	2640	10,090
job 103		2,310	1,940	2100	6,350
job 104		7,810	7,290	4680	19,780
job105		4,960	5,560	1380	11,900
job 106		3,620	3,530	2280	9,430
total		25,030	25,230	14280	64,540
Entries	Description				Debit	Credit
a.	Raw materials inventory				2,920
	Accounts payable					2,920
b.	Work in process inventory				50,260
	Factory overhead				5320
	Raw materials inventory					26,000
	Factory payroll					29,580
c.	Factory overhead				5,440
	Accounts payable					5,440
d.	Factory overhead				2,090
	Accumulated depreciation					2,090
e.	Work in process inventory				14,280
	Factory overhead					14,280
f.	Finished goods inventory				35,330
	work in process inventory					35,330
	(job 101,102,103 &105)
g.	Accounts receivable				38920
	sale					38,920
	cost of good sold				28,980
	finished goods inventory					28,980
	(44,980+57640+39,990)
2)	work in process
	b.	50,260	35,330	f.
	e.	14,280
	bal	29,210
	Finished goods
	f.	35,330	28,980	g.
	bal	6,350
3)	Schedule of unfinished jobs
	job	Direct	direct	FOH	total
		materials	labor
	job 104	7,810	7,290	4680	19,780
	job 106	3,620	3,530	2280	9,430
	Balance in work in process ,april 30				29,210
4)	Schedule of completed jobs
		job	Direct	direct	FOH	total
			materials	labor
		job 103	2,310	1,940	2,100	6,350