Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March: 1. Materials purchased on account, $770,000. 2. Materials requisitioned, $680,000, of which $75,800 was for general factory use. 3. Factory labor used, $756,000, of which $182,000 was indirect. 4. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500; and administrative expenses, $110,600.
Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March: 1. Materials purchased on account, $770,000. 2. Materials requisitioned, $680,000, of which $75,800 was for general factory use. 3. Factory labor used, $756,000, of which $182,000 was indirect. 4. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500; and administrative expenses, $110,600.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Entries for costs in a job order cost system
Royal Technology Company uses a job order cost system. The following data summarize the operations
related to production for March:
1. Materials purchased on account, $770,000.
2. Materials requisitioned, $680,000, of which $75,800 was for general factory use.
3. Factory labor used, $756,000, of which $182,000 was indirect.
4. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500; and
administrative expenses, $110,600.
5. Prepaid expenses expired for factory overhead were $24,500; for selling expenses, $28,420; and for
administrative expenses, $16,660.
6. Depreciation of factory equipment was $49,500; of office equipment, $61,800; and of office building.
$14,900.
7. Factory overhead costs applied to jobs, $568,500.
8. Jobs completed, $1,500,000.
9. Cost of goods sold, $1,375,000.
Instructions
Journalize the entries to record the summarized operations.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F957e0d21-ea0c-4a11-ac15-9b0bd133d9ef%2F10311fef-a848-43a3-b78d-8a8b2eec5c92%2F17vtr6b_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Entries for costs in a job order cost system
Royal Technology Company uses a job order cost system. The following data summarize the operations
related to production for March:
1. Materials purchased on account, $770,000.
2. Materials requisitioned, $680,000, of which $75,800 was for general factory use.
3. Factory labor used, $756,000, of which $182,000 was indirect.
4. Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500; and
administrative expenses, $110,600.
5. Prepaid expenses expired for factory overhead were $24,500; for selling expenses, $28,420; and for
administrative expenses, $16,660.
6. Depreciation of factory equipment was $49,500; of office equipment, $61,800; and of office building.
$14,900.
7. Factory overhead costs applied to jobs, $568,500.
8. Jobs completed, $1,500,000.
9. Cost of goods sold, $1,375,000.
Instructions
Journalize the entries to record the summarized operations.
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