Problem 1: ABC Company uses a job order cost system for its manufacturing activities. The following transaction data were accumulated for the month of June 2021: A Jobs in process, June 1: Jab 40 P20,000 60,000 Job 41 b. Raw materials purchased, P720,000 C. Raw materials and supplies requisitioned from the stockroom Job 40 Job 41 Job 42 General factory usage P100,000 220,000 240,000 40,000 P600.000 d. Total factory payroll accrued and paid 200,000 200,000 220,000 P620.000 Job 40 Job 41 Job 42 Direct labor Indirect labor 80,000 Payroll deductions 5% P7,500 2,400 2,000 Income tax withheld SSS contributions Phil. Health contributions Pag-ibig contributions e. Employer's share in SSS contributions Phil. Health contributions Pag-ibig contributions P10,200 2,400 2,000 f. Depreciation of factory equipment and machinery for June, P80.000. g. Other overhead costs incurred, P340,000. h. Factory overhead is applied to jobs at the rate of 100 percent of direct labor cost. i During the month, Job 40 and Job 41 wer Job 40 was delivered and billed to the customer for P900,000. completed. Required. 1. Prepare general journal entries for the transactions. 2. Compute the balance of Work in Process on June 30, 2021.
Problem 1: ABC Company uses a job order cost system for its manufacturing activities. The following transaction data were accumulated for the month of June 2021: A Jobs in process, June 1: Jab 40 P20,000 60,000 Job 41 b. Raw materials purchased, P720,000 C. Raw materials and supplies requisitioned from the stockroom Job 40 Job 41 Job 42 General factory usage P100,000 220,000 240,000 40,000 P600.000 d. Total factory payroll accrued and paid 200,000 200,000 220,000 P620.000 Job 40 Job 41 Job 42 Direct labor Indirect labor 80,000 Payroll deductions 5% P7,500 2,400 2,000 Income tax withheld SSS contributions Phil. Health contributions Pag-ibig contributions e. Employer's share in SSS contributions Phil. Health contributions Pag-ibig contributions P10,200 2,400 2,000 f. Depreciation of factory equipment and machinery for June, P80.000. g. Other overhead costs incurred, P340,000. h. Factory overhead is applied to jobs at the rate of 100 percent of direct labor cost. i During the month, Job 40 and Job 41 wer Job 40 was delivered and billed to the customer for P900,000. completed. Required. 1. Prepare general journal entries for the transactions. 2. Compute the balance of Work in Process on June 30, 2021.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please help me
![Problem 1: ABC Company uses a job order cost system for its manufacturing acfivities.
The following transaction data were accumulated for the month of June 2021:
a Jobs in process, June 1:
Job 40
Job 41
P20,000
0,000
b. Raw materials purchased, P720,000
C. Raw materials and supplies requisitioned from the stockroom
Job 40
P100,000
220,000
240,000
40,000
P600.000
Job 41
Job 42
General factory usage
d. Total factory payroll accrued and paid
200,000
200,000
220,000
P620.000
Job 40
Job 41
Job 42
Direct labor
Indirect labor
80,000
Payroll deductions
Income tax withheld
SSS contributions
Phil. Health contributions
Pag-ibig contributions
5%
P7,500
2,400
2,000
e. Employer's share in
SSS contributions
Phil. Health contributions
P10,200
2,400
2,000
Pag-ibig contributions
f. Depreciation of factory equipment and machinery for June, P60,000.
9 Other overhead costs incurred, P340,000.
h. Factory overhead is applied to jobs at the rate of 100 percent of direct labor cost.
i During the month, Job 40 and Job 41 were completed.
i Job 40 was delivered and billed to the customer for P800,000.
Required:
1. Prepere general journal entries for the transactions.
2. Compute the balance of Work in Process on June 30, 2021.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F924c8514-9983-464b-8301-a72a7b008e20%2F296865d4-a72a-4b06-86c0-e40ef4f34855%2Fi87bg87_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Problem 1: ABC Company uses a job order cost system for its manufacturing acfivities.
The following transaction data were accumulated for the month of June 2021:
a Jobs in process, June 1:
Job 40
Job 41
P20,000
0,000
b. Raw materials purchased, P720,000
C. Raw materials and supplies requisitioned from the stockroom
Job 40
P100,000
220,000
240,000
40,000
P600.000
Job 41
Job 42
General factory usage
d. Total factory payroll accrued and paid
200,000
200,000
220,000
P620.000
Job 40
Job 41
Job 42
Direct labor
Indirect labor
80,000
Payroll deductions
Income tax withheld
SSS contributions
Phil. Health contributions
Pag-ibig contributions
5%
P7,500
2,400
2,000
e. Employer's share in
SSS contributions
Phil. Health contributions
P10,200
2,400
2,000
Pag-ibig contributions
f. Depreciation of factory equipment and machinery for June, P60,000.
9 Other overhead costs incurred, P340,000.
h. Factory overhead is applied to jobs at the rate of 100 percent of direct labor cost.
i During the month, Job 40 and Job 41 were completed.
i Job 40 was delivered and billed to the customer for P800,000.
Required:
1. Prepere general journal entries for the transactions.
2. Compute the balance of Work in Process on June 30, 2021.
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education