Required a) Prepare joumal entries to record the preceding transactions.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 12EB: A company has the following transactions during the week. Purchase of $3,000 raw materials inventory...
icon
Related questions
Question

hi

i hope your health is good :)

Freaday Incorporation provides the following financial data for the month of July 2020:
Beginning Inventories 'Rs.'
Direct Material
12,000
WIP
Finished Goods
1. Purchased material on accounts for Rs. 200,000
2. Defective material retumed to supplier worth Rs. 5,000
3. Material and labor issued to job during the month
Direct material Direct Labor
40,000
Job # 101
65,000
Job # 102
50,000
80,000
Job # 103
30,000
50,000
Job # 104
25,000
40,000
Indirect
5,000
15,000
4. FOH rate is 120% of direct labor cost
5. Actual FOH cost incurred on account Rs. 250,000
Required
a) Prepare joumal entries to record the preceding transactions.
Transcribed Image Text:Freaday Incorporation provides the following financial data for the month of July 2020: Beginning Inventories 'Rs.' Direct Material 12,000 WIP Finished Goods 1. Purchased material on accounts for Rs. 200,000 2. Defective material retumed to supplier worth Rs. 5,000 3. Material and labor issued to job during the month Direct material Direct Labor 40,000 Job # 101 65,000 Job # 102 50,000 80,000 Job # 103 30,000 50,000 Job # 104 25,000 40,000 Indirect 5,000 15,000 4. FOH rate is 120% of direct labor cost 5. Actual FOH cost incurred on account Rs. 250,000 Required a) Prepare joumal entries to record the preceding transactions.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Health, Disability and Long Term Care Insurance
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.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College