Trial Balance: Cash $ 35,000 Accounts Receivable 65,000 Finished Goods 120,000 Work in Process 58,683 Materials 14,000 Building 580,000 Accum. Deprec.—Building $ 43,500 Factory Equipment 440,000 Accum. Deprec.—Factory Equipment 110,000 Office Equipment 90,000 Accum. Deprec.—Office Equipment 33,750 Accounts Payable 85,000 Notes Payable 100,000 Capital Stock 470,000 Retained Earnings 560,433 Total $1,402,683 $1,402,683 During the month of August, the following transactions took place: a. Purchased raw materials at a cost of $55,000 and general factory supplies at a cost of $18,000 on account. (NOTE: Materials account includes both materials and supplies.) b. Issued raw material to be used in production, costing $45,500, and miscellaneous factory supplies, $13,500. c. Recorded the payroll, the payment to the employees, and the distribution of the wages and salaries for the month. The distribution is as follows: selling salaries, $5,000, administrative salaries, $7,000, and factory wages (including $10,000 indirect labor), $48,000. d. Incurred other expenses on account totaling $9,000. Thirty percent of this amount is allocable to the office and selling functions. e. Recorded depreciation for the month at an annual rate of 5% on the building, 20% on the factory equipment, and 25% on the office equipment. The sales and administrative staff use approximately one-fourth of the building for its offices. f. Transferred total factory overhead to Work in Process. g. Paid $10,000 on the note that was due this month. h. Completed and transferred goods totaling $95,000 to the finished goods storeroom. i. Sold goods costing $173,000, on account. The company uses a 75% mark-on percentage. j. Received $284,000 from customers on account. k. Paid creditors $163,000. How would I journalize this?
|
Cash |
$ 35,000 |
|
|
|
65,000 |
|
|
Finished Goods |
120,000 |
|
|
Work in Process |
58,683 |
|
|
Materials |
14,000 |
|
|
Building |
580,000 |
|
|
Accum. Deprec.—Building |
|
$ 43,500 |
|
Factory Equipment |
440,000 |
|
|
Accum. Deprec.—Factory Equipment |
|
110,000 |
|
Office Equipment |
90,000 |
|
|
Accum. Deprec.—Office Equipment |
|
33,750 |
|
Accounts Payable |
|
85,000 |
|
Notes Payable |
|
100,000 |
|
Capital Stock |
|
470,000 |
|
|
|
560,433 |
|
Total |
$1,402,683 |
$1,402,683 |
During the month of August, the following transactions took place:
|
a. |
Purchased raw materials at a cost of $55,000 and general factory supplies at a cost of $18,000 on account. (NOTE: Materials account includes both materials and supplies.) |
|
b. |
Issued raw material to be used in production, costing $45,500, and miscellaneous factory supplies, $13,500. |
|
c. |
Recorded the payroll, the payment to the employees, and the distribution of the wages and salaries for the month. The distribution is as follows: selling salaries, $5,000, administrative salaries, $7,000, and factory wages (including $10,000 indirect labor), $48,000. |
|
d. |
Incurred other expenses on account totaling $9,000. Thirty percent of this amount is allocable to the office and selling functions. |
|
e. |
Recorded |
|
f. |
Transferred total factory |
|
g. |
Paid $10,000 on the note that was due this month. |
|
h. |
Completed and transferred goods totaling $95,000 to the finished goods storeroom. |
|
i. |
Sold goods costing $173,000, on account. The company uses a 75% mark-on percentage. |
|
j. |
Received $284,000 from customers on account. |
|
k. |
Paid creditors $163,000. |
How would I journalize this?
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