Do not give answer in image Riverbed makes and delivers delicious meals, either ordered directly off its menu or customized to its customers' specifications (e.g.,meatless or with jalapeños). The company sells its meals to individual households as well as businesses and organizations throughoutthe metro area.In determining its financial situation at the end of April, Riverbed's accountant considered the jobs in process at the beginning of themonth, along with costs and work done on jobs throughout April, and tallied costs to date on jobs that were not yet finished at the endof April, as follows.2.3.4.5.At March 31, Job #120 was the only job in inventory, and it was not yet finished. At that point, it had direct material costs of$52 and had used 27 direct labor hours.During April, Riverbed requisitioned the followed direct materials costs for these jobs: $700 for Job #120, $460 for Job# 121, and $990 for Job #122.During April, Riverbed used the following direct labor hours for these jobs: 56 hours for Job # 120, 134 hours for Job #121,and 169 hours for Job #122.During April, the following MOH costs were recognized: depreciation on plant assets $1,940, utility costs for the plant yet tobe paid $560, and salary for plant supervisor $2,940 ($1,470 had been paid; $1,470 was accrued).By the end of April, Job # 120 had been completed and sold (on credit), Job # 121 was completed but not yet sold, and Job# 122 had not yet been completed.Riverbed's direct labor cost is $15/hour. It allocates MOH on the basis of direct labor hours. At the beginning of the year, the companyexpected total MOH costs to be $176,960 and direct labor hours to be 12,640. Riverbed sets its selling price at 150% of its productcosts. Record the journal entries to capture the above April transactions. (Credit account titles are automatically indented when the amountis entered. Do not indent manually. List all debit entries before credit entries. Round answers to 2 decimal places, e.g. 5,275.25.)Account Titles and ExplanationWIP Inventory-#120WIP Inventory-#121WIP Inventory-#122RM Inventory(To record DM costs incurred for each job)WIP Inventory-#120WIP Inventory-# 121WIP Inventory-#122Salaries and Wages Payable(To record DM costs incurred for each job recognizing the hourlyrate)WIP Inventory-# 120WIP Inventory-#121WIP Inventory-#122MOH Control(To record applied MOH for each job)MOH Control(To record applied MOH for each job)MOH ControlAccumulated Depreciation ✓Utilities PayableCashSalaries and Wages Payable(To record actual MOH incurred for each job)FG Inventory-# 120WIP Inventory-#120(To record total cost of Job#120 completed in April)FG Inventory-#121WIP Inventory-#121(To record total cost of Job# 121 completed in April)Accounts ReceivableSales Revenue(To record sale of Job#120)VCost of Goods SoldFG Inventory-# 120(To record total cost of Job#120 sold)Debit70046099084020102535784187623665440FULULLO 01 00 0054404346Credit2150**538550261940560147014704346

Journal entry records the accounting transactions of a business in a journal book. All the business…

Riverbed makes and delivers delicious meals, either ordered directly off its menu or customized to its customers' specifications (e.g., meatless or with jalapeños). The company sells its meals to individual households as well as businesses and organizations throughout the metro area.

Riverbed makes and delivers delicious meals, either ordered directly off its menu or customized to its customers' specifications (e.g., meatless or with jalapeños). The company sells its meals to individual households as well as businesses and organizations throughout the metro area.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter18: Pricing And Profitability Analysis

Section: Chapter Questions

Problem 1CE: Ventana Window and Wall Treatments Company provides draperies, shades, and various window...

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