Question

Crawford Corporation incurred the following transactions.

1. Purchased raw materials on account $46,300.

2. Raw materials of $36,000 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $6,800 was classified as indirect materials.

3. Factory labor costs incurred were $59,900, of which $51,000 pertained to factory wages payable and $8,900 pertained to employer payroll taxes payable.

4.Time tickets indicated that $54,000 was direct labor and $5,900 was indirect labor.

5. Manufacturing overhead costs incurred on account were $80,500.

6. Depreciation on the company's office building was $8,100.

7. Manufacturing overhead was applied at the rate of 150% of direct labor cost.

8. Goods costing $88,000 were completed and transferred to finished goods.

9. Finished goods costing $75,000 to manufacture were sold on account for $103,000.

Jounalize the transactions (omit explanations)

But if you could actually show explantions that would be great.

Answer 1

Ans.	Crawford Corporation
	Journal Entry
	Account Titles			Dr.($)	Cr.($)
1)	Raw Material inventory			46,300
	To Accounts Payable				46,300
2)	Work in Progress inventory			29,200
	Manufacturing Overhead			6,800
	To Raw Material inventory				36,000
3)	Factory Labor			59,900
	To Factory wages Payable				51,000
	To Employer Payroll Taxes				8,900
4)	Manufacturing Overhead			5,900
	Work in Progress inventory			54,000
	To Factory Labor				59,900
5)	Manufacturing Overhead			80,500
	To Accounts Payable				80,500
6)	Depreciation Expense			8,100
	To Accumulated Depreciation				8,100
7)	Work in Progress inventory			81,000
	To Manufacturing Overhead				81,000
8)	Finished Goods Inventory			88,000
	To Work in Progress inventory				88,000
9) (a)	Accounts Receivable			103,000
	To Sales Revenue				103,000
(b)	Cost of Goods Sold			75,000
	To Finished Goods Inventory				75,000