Cullumber Manufacturing Company uses a job order cost system and keeps perpetual inventory records. June 1 Purchased raw materials for $16,800 on account. 8 Raw materials requisitioned by production: Direct materials Indirect materials $6,720 840 Paid factory utilities, $1,764 and repairs for factory equipment, $6,720. 15 25 Incurred $128,000 of factory labor. 25 Time tickets indicated the following: Direct Labor (7,000 hrs x $14 per hr) $98,000 Indirect Labor (3,000 hrs x $10 per hr) 30,000 $128,000 25 Applied manufacturing overhead to production based on a predetermined overhead rate of $9 per direct labor hour worked. 28 Goods costing $18,300 were completed in the factory and were transferred to finished goods inventory. 30 Goods costing $15,300 were sold for $20,300 on account. Prepare journal entries to record the above transactions during the month of June. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)
Cullumber Manufacturing Company uses a job order cost system and keeps perpetual inventory records. June 1 Purchased raw materials for $16,800 on account. 8 Raw materials requisitioned by production: Direct materials Indirect materials $6,720 840 Paid factory utilities, $1,764 and repairs for factory equipment, $6,720. 15 25 Incurred $128,000 of factory labor. 25 Time tickets indicated the following: Direct Labor (7,000 hrs x $14 per hr) $98,000 Indirect Labor (3,000 hrs x $10 per hr) 30,000 $128,000 25 Applied manufacturing overhead to production based on a predetermined overhead rate of $9 per direct labor hour worked. 28 Goods costing $18,300 were completed in the factory and were transferred to finished goods inventory. 30 Goods costing $15,300 were sold for $20,300 on account. Prepare journal entries to record the above transactions during the month of June. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Cullumber Manufacturing Company uses a job order cost system and keeps perpetual inventory records.
June 1
Purchased raw materials for $16,800 on account.
8
Raw materials requisitioned by production:
Direct materials
Indirect materials
$6,720
840
Paid factory utilities, $1,764 and repairs for factory equipment, $6,720.
15
25
Incurred $128,000 of factory labor.
25
Time tickets indicated the following:
Direct Labor
(7,000 hrs x $14 per hr)
$98,000
Indirect Labor
(3,000 hrs x $10 per hr)
30,000
$128,000
25
Applied manufacturing overhead to production based on a predetermined overhead rate of $9 per direct labor hour worked.
28
Goods costing $18,300 were completed in the factory and were transferred to finished goods inventory.
30
Goods costing $15,300 were sold for $20,300 on account.
Prepare journal entries to record the above transactions during the month of June. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit
entries. Record journal entries in the order presented in the problem.)
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