Required information [The following information applies to the questions displayed below.] Marco Company shows the following costs for three jobs worked on in April. Job 306 Job 307 $ 41,000 $ 25,000 24,000 12,000 18,000 9,000 Balances on March 31 Direct materials used (in March) Direct labor used (in March) Overhead applied (March) Costs during April- Direct materials used Direct labor used Overhead applied Status on April 30 a. Materials purchases (on credit). b. Direct materials used. 137,000 105,000 ? View transaction list View journal entry worksheet No 1 Finished (sold) Additional Information a. Raw Materials Inventory has a March 31 balance of $89,000. b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000. c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000; factory utilities, $19,000; and factory equipment depreciation, $57,000. d. Predetermined overhead rate is 50% of direct labor cost. e. Job 306 is sold for $665,000 cash in April. e. Indirect labor used (and paid in cash) and assigned to Factory Overhead. f. Overhead costs applied to Work in Process Inventory. Transaction 215,000 150,000 ? c. Direct labor used (and paid in cash) and assigned to Work in Process Inventory. d. Indirect materials used and assigned to Factory Overhead. a. Finished (unsold) Raw materials inventory g. Actual other overhead costs incurred (Factory rent and utilities are paid in cash.) h. Transfer of Jobs 306 and 307 to Finished Goods Inventory. Job 308 i. Cost of goods sold for Job 306. j. Revenue from the sale of Job 306 received in cash. k. Close underapplied or overapplied overhead to the Cost of Goods Sold account. 3. Prepare journal entries for the month of April to record the above transactions. $ 110,000 102,000 General Journal In process Debit Credit ******** ********
Required information [The following information applies to the questions displayed below.] Marco Company shows the following costs for three jobs worked on in April. Job 306 Job 307 $ 41,000 $ 25,000 24,000 12,000 18,000 9,000 Balances on March 31 Direct materials used (in March) Direct labor used (in March) Overhead applied (March) Costs during April- Direct materials used Direct labor used Overhead applied Status on April 30 a. Materials purchases (on credit). b. Direct materials used. 137,000 105,000 ? View transaction list View journal entry worksheet No 1 Finished (sold) Additional Information a. Raw Materials Inventory has a March 31 balance of $89,000. b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000. c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000; factory utilities, $19,000; and factory equipment depreciation, $57,000. d. Predetermined overhead rate is 50% of direct labor cost. e. Job 306 is sold for $665,000 cash in April. e. Indirect labor used (and paid in cash) and assigned to Factory Overhead. f. Overhead costs applied to Work in Process Inventory. Transaction 215,000 150,000 ? c. Direct labor used (and paid in cash) and assigned to Work in Process Inventory. d. Indirect materials used and assigned to Factory Overhead. a. Finished (unsold) Raw materials inventory g. Actual other overhead costs incurred (Factory rent and utilities are paid in cash.) h. Transfer of Jobs 306 and 307 to Finished Goods Inventory. Job 308 i. Cost of goods sold for Job 306. j. Revenue from the sale of Job 306 received in cash. k. Close underapplied or overapplied overhead to the Cost of Goods Sold account. 3. Prepare journal entries for the month of April to record the above transactions. $ 110,000 102,000 General Journal In process Debit Credit ******** ********
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Topic Video
Question
![5
3
!
Required information
[The following information applies to the questions displayed below.]
Marco Company shows the following costs for three jobs worked on in April.
Balances on March 31
Direct materials used (in March)
Direct labor used (in March)
Overhead applied (March)
Costs during April-
Direct materials used
Direct labor used
Overhead applied
Status on April 30
MARCO COMPANY
Schedule of Cost of Goods Manufactured
For Month Ended April 30
Total manufacturing costs
Total cost of work in process
Job 306
$ 25,000
24,000
12,000
Cost of goods manufactured
137,000
105,000
$
Additional Information
a. Raw Materials Inventory has a March 31 balance of $89,000.
b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000.
c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000;
factory utilities, $19,000; and factory equipment depreciation, $57,000.
d. Predetermined overhead rate is 50% of direct labor cost.
e. Job 306 is sold for $665,000 cash in April.
Job 307
A. Prepare a schedule of cost of goods manufactured for the month end April 30.
$ 41,000
18,000
9,000
Finished Finished
(sold) (unsold)
0
215,000
150,000
0
Job 308
$ 110,000
102,000
?
In process
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Transcribed Image Text:5
3
!
Required information
[The following information applies to the questions displayed below.]
Marco Company shows the following costs for three jobs worked on in April.
Balances on March 31
Direct materials used (in March)
Direct labor used (in March)
Overhead applied (March)
Costs during April-
Direct materials used
Direct labor used
Overhead applied
Status on April 30
MARCO COMPANY
Schedule of Cost of Goods Manufactured
For Month Ended April 30
Total manufacturing costs
Total cost of work in process
Job 306
$ 25,000
24,000
12,000
Cost of goods manufactured
137,000
105,000
$
Additional Information
a. Raw Materials Inventory has a March 31 balance of $89,000.
b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000.
c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000;
factory utilities, $19,000; and factory equipment depreciation, $57,000.
d. Predetermined overhead rate is 50% of direct labor cost.
e. Job 306 is sold for $665,000 cash in April.
Job 307
A. Prepare a schedule of cost of goods manufactured for the month end April 30.
$ 41,000
18,000
9,000
Finished Finished
(sold) (unsold)
0
215,000
150,000
0
Job 308
$ 110,000
102,000
?
In process
< Prev
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S
15
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Next >
![Required information
[The following information applies to the questions displayed below.]
Marco Company shows the following costs for three jobs worked on in April.
Balances on March 31
Direct materials used (in March)
Direct labor used (in March)
Overhead applied (March)
Costs during April-
Direct materials used
Direct labor used
Overhead applied
Status on April 30
a. Materials purchases (on credit).
b. Direct materials used.
View transaction list View journal entry worksheet
No
1
Job 306
$ 25,000
24,000
12,000
Transaction
137,000
105,000
?
Finished
(sold)
a.
Additional Information
a. Raw Materials Inventory has a March 31 balance of $89,000.
b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000.
c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000;
factory utilities, $19,000; and factory equipment depreciation, $57,000.
d. Predetermined overhead rate is 50% of direct labor cost.
e. Job 306 is sold for $665,000 cash in April.
Raw materials inventory
Job 307
$ 41,000
18,000
9,000
c. Direct labor used (and paid in cash) and assigned to Work in Process Inventory.
d. Indirect materials used and assigned to Factory Overhead.
e. Indirect labor used (and paid in cash) and assigned to Factory Overhead.
f. Overhead costs applied to Work in Process Inventory.
g. Actual other overhead costs incurred (Factory rent and utilities are paid in cash.)
h. Transfer of Jobs 306 and 307 to Finished Goods Inventory.
i. Cost of goods sold for Job 306.
j. Revenue from the sale of Job 306 received in cash.
k. Close underapplied or overapplied overhead to the Cost of Goods Sold account.
3. Prepare journal entries for the month of April to record the above transactions.
General Journal
Job 308
215,000 $ 110,000
150,000 102,000
Finished
(unsold)
In process
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13
Debit
S
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Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Marco Company shows the following costs for three jobs worked on in April.
Balances on March 31
Direct materials used (in March)
Direct labor used (in March)
Overhead applied (March)
Costs during April-
Direct materials used
Direct labor used
Overhead applied
Status on April 30
a. Materials purchases (on credit).
b. Direct materials used.
View transaction list View journal entry worksheet
No
1
Job 306
$ 25,000
24,000
12,000
Transaction
137,000
105,000
?
Finished
(sold)
a.
Additional Information
a. Raw Materials Inventory has a March 31 balance of $89,000.
b. Raw materials purchases in April are $550,000, and total factory payroll cost in April is $378,000.
c. Actual overhead costs incurred in April are indirect materials, $53,000; indirect labor, $21,000; factory rent, $38,000;
factory utilities, $19,000; and factory equipment depreciation, $57,000.
d. Predetermined overhead rate is 50% of direct labor cost.
e. Job 306 is sold for $665,000 cash in April.
Raw materials inventory
Job 307
$ 41,000
18,000
9,000
c. Direct labor used (and paid in cash) and assigned to Work in Process Inventory.
d. Indirect materials used and assigned to Factory Overhead.
e. Indirect labor used (and paid in cash) and assigned to Factory Overhead.
f. Overhead costs applied to Work in Process Inventory.
g. Actual other overhead costs incurred (Factory rent and utilities are paid in cash.)
h. Transfer of Jobs 306 and 307 to Finished Goods Inventory.
i. Cost of goods sold for Job 306.
j. Revenue from the sale of Job 306 received in cash.
k. Close underapplied or overapplied overhead to the Cost of Goods Sold account.
3. Prepare journal entries for the month of April to record the above transactions.
General Journal
Job 308
215,000 $ 110,000
150,000 102,000
Finished
(unsold)
In process
< Prev
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Debit
S
14
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