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Mighty Stars produces stars for elementary teachers to reward their students. Mighty Stars' trial balance on June 1 follows: June transactions are summarized as follows: A (Click the icon to view the transactions.) E (Click the icon to view the trial balance.) June 1 balances in the subsidiary ledgers were as follows: More Info A (Click the icon to view the balances.) Requirement 1. Journalize the transactions for the company. (Record debits first, then credits. Exclude explana a. Collections on account, $145,000. b. Selling and administrative expenses incurred and paid, $32,000. c. Payments on account, $39,000. d. Materials purchased on account: Paper, $24,000; indirect materials, $4,200. e. Materials requisitioned and used in production: a. Collections on account, $145,000 Date Accounts Debit Credit a. Job 120: Paper, 950 $ 7,900 $ 1,200 Job 121: Paper, Indirect materials, f. Wages incurred during June, $39,000. Labor time records for the month: Job 120, $3,600; Job 121, $17,000; indirect labor, $18,400. g. Wages paid in June include the balance in the Wages Payable at May 31 plus $36,100 of wages incurred during June. h. Depreciation on plant and equipment, $2,500. i. Manufacturing overhead allocated at the predetermined overhead allocation rate j. Jobs completed during the month: Job 120 with 700,000 Large Stars at a total cost of $47,430. k. Sales on account: all of Job 120 for $104,000. I. Adjusted for overallocated or underallocated manufacturing overhead. 80% of direct labor costs.

Mighty Stars produces stars for elementary teachers to reward their students. Mighty Stars' trial balance on June 1 follows: June transactions are summarized as follows: A (Click the icon to view the transactions.) E (Click the icon to view the trial balance.) June 1 balances in the subsidiary ledgers were as follows: More Info A (Click the icon to view the balances.) Requirement 1. Journalize the transactions for the company. (Record debits first, then credits. Exclude explana a. Collections on account, $145,000. b. Selling and administrative expenses incurred and paid, $32,000. c. Payments on account, $39,000. d. Materials purchased on account: Paper, $24,000; indirect materials, $4,200. e. Materials requisitioned and used in production: a. Collections on account, $145,000 Date Accounts Debit Credit a. Job 120: Paper, 950 $ 7,900 $ 1,200 Job 121: Paper, Indirect materials, f. Wages incurred during June, $39,000. Labor time records for the month: Job 120, $3,600; Job 121, $17,000; indirect labor, $18,400. g. Wages paid in June include the balance in the Wages Payable at May 31 plus $36,100 of wages incurred during June. h. Depreciation on plant and equipment, $2,500. i. Manufacturing overhead allocated at the predetermined overhead allocation rate j. Jobs completed during the month: Job 120 with 700,000 Large Stars at a total cost of $47,430. k. Sales on account: all of Job 120 for $104,000. I. Adjusted for overallocated or underallocated manufacturing overhead. 80% of direct labor costs.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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June transactions are summarized as follows: Mighty Stars produces stars for elementary teachers to reward their students. Mighty Stars' trial balance on June 1 follows: E (Click the icon to view the trial balance.) A (Click the icon to view the transactions.) June 1 balances in the subsidiary ledgers were as follows: A (Click the icon to view the balances.) More Info Requirement 1. Journalize the transactions for the company. (Record debits first, then credits. Exclude explana a. Collections on account, $145,000. b. Selling and administrative expenses incurred and paid, $32,000. c. Payments on account, $39,000. d. Materials purchased on account: Paper, $24,000; indirect materials, $4,200. e. Materials requisitioned and used in production: a. Collections on account, $145,000 Date Accounts Debit Credit а. Job 120: Paper, 950 Job 121: Paper, $ 7,900 Indirect materials, $ 1,200 f. Wages incurred during June, $39,000. Labor time records for the month: Job 120, $3,600; Job 121, $17,000; indirect labor, $18,400. g. Wages paid in June include the balance in the Wages Payable at May 31 plus $36,100 of wages incurred during June. Depreciation on plant and equipment, $2,500. i. Manufacturing overhead allocated at the predetermined overhead allocation rate of 80% of direct labor costs. j. Jobs completed during the month: Job 120 with 700,000 Large Stars at a total cost of $47,430. k. Sales on account: all of Job 120 for $104,000. I. Adjusted for overallocated or underallocated manufacturing overhead. h.
Transcribed Image Text:June transactions are summarized as follows: Mighty Stars produces stars for elementary teachers to reward their students. Mighty Stars' trial balance on June 1 follows: E (Click the icon to view the trial balance.) A (Click the icon to view the transactions.) June 1 balances in the subsidiary ledgers were as follows: A (Click the icon to view the balances.) More Info Requirement 1. Journalize the transactions for the company. (Record debits first, then credits. Exclude explana a. Collections on account, $145,000. b. Selling and administrative expenses incurred and paid, $32,000. c. Payments on account, $39,000. d. Materials purchased on account: Paper, $24,000; indirect materials, $4,200. e. Materials requisitioned and used in production: a. Collections on account, $145,000 Date Accounts Debit Credit а. Job 120: Paper, 950 Job 121: Paper, $ 7,900 Indirect materials, $ 1,200 f. Wages incurred during June, $39,000. Labor time records for the month: Job 120, $3,600; Job 121, $17,000; indirect labor, $18,400. g. Wages paid in June include the balance in the Wages Payable at May 31 plus $36,100 of wages incurred during June. Depreciation on plant and equipment, $2,500. i. Manufacturing overhead allocated at the predetermined overhead allocation rate of 80% of direct labor costs. j. Jobs completed during the month: Job 120 with 700,000 Large Stars at a total cost of $47,430. k. Sales on account: all of Job 120 for $104,000. I. Adjusted for overallocated or underallocated manufacturing overhead. h.
Question Help Data Table hsactions are summarized as follows: k the icon to view the transactions.) Balance Account Title Debit Credit requirements. Cash $ 14,000 Accounts Receivable 160,000 I entries.) Inventories: Raw Materials 6,000 i More Info Work-in-Process 40,000 Finished Goods 20,400 Property, Plant, and Equipment 220,000 Raw Materials Inventory subsidiary ledger: Paper, $4,000; indirect materials, $2,000 Accumulated Depreciation 75,000 Work-in-Process Inventory subsidiary ledger: Job 120, $40,000; Job 121, $0 Accounts Payable 134,000 Finished Goods Inventory subsidiary ledger: Large Stars, $9,900; Small Stars, $10,500 Wages Payable 2,600 Common Stock 139,000 Print Done Retained Earnings 109,800 Sales Revenue Print Done
Transcribed Image Text:Question Help Data Table hsactions are summarized as follows: k the icon to view the transactions.) Balance Account Title Debit Credit requirements. Cash $ 14,000 Accounts Receivable 160,000 I entries.) Inventories: Raw Materials 6,000 i More Info Work-in-Process 40,000 Finished Goods 20,400 Property, Plant, and Equipment 220,000 Raw Materials Inventory subsidiary ledger: Paper, $4,000; indirect materials, $2,000 Accumulated Depreciation 75,000 Work-in-Process Inventory subsidiary ledger: Job 120, $40,000; Job 121, $0 Accounts Payable 134,000 Finished Goods Inventory subsidiary ledger: Large Stars, $9,900; Small Stars, $10,500 Wages Payable 2,600 Common Stock 139,000 Print Done Retained Earnings 109,800 Sales Revenue Print Done
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