tries for the rework, assuming the following: (Record debits first, then credits. Exclude explanations from any jour d to a specific job. Accounts Journal Entry Requirements Prepare the journal entries for the rework, assur a. The rework is related to a specific job. b. The rework is common to all jobs. c. The rework is considered to be abnormal.
tries for the rework, assuming the following: (Record debits first, then credits. Exclude explanations from any jour d to a specific job. Accounts Journal Entry Requirements Prepare the journal entries for the rework, assur a. The rework is related to a specific job. b. The rework is common to all jobs. c. The rework is considered to be abnormal.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
I need requirement A-C please.
![Paradise Bay Shop is a manufacturer of golf carts. Peter Cranston, the plant manager of Paradise Bay, obtains the following information for Job # 22 in August 2020. A total of 23 units were started, and 3 spoiled
units were detected and rejected at final inspection, yielding 20 good units. The spoiled units were considered to be normal spoilage. Costs assigned prior to the inspection point are $1,300 per unit. Assume that
the 3 spoiled units of Paradise Bay Shop's Job # 22 can be reworked for a total cost of $2,200. A total cost of $3,900 associated with these units has already been assigned to Job #22 before the rework.
Read the requirements.
Prepare the journal entries for the rework, assuming the following: (Record debits first, then credits. Exclude explanations from any journal entries. Abbreviations used: "Pay." = Payable, "Mfg." = Manufacturing.)
a. The rework is related to a specific job.
Accounts
C....
Journal Entry
Requirements
Prepare the journal entries for the rework, assuming the following:
a. The rework is related to a specific job.
b.
The rework is common to all jobs.
c. The rework is considered to be abnormal.
- X](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F87f377c8-556b-40c3-ad73-583aac17d9d0%2Fd9abc2cb-0f7c-4210-bf30-2a460d010067%2Fp0ofef_processed.png&w=3840&q=75)
Transcribed Image Text:Paradise Bay Shop is a manufacturer of golf carts. Peter Cranston, the plant manager of Paradise Bay, obtains the following information for Job # 22 in August 2020. A total of 23 units were started, and 3 spoiled
units were detected and rejected at final inspection, yielding 20 good units. The spoiled units were considered to be normal spoilage. Costs assigned prior to the inspection point are $1,300 per unit. Assume that
the 3 spoiled units of Paradise Bay Shop's Job # 22 can be reworked for a total cost of $2,200. A total cost of $3,900 associated with these units has already been assigned to Job #22 before the rework.
Read the requirements.
Prepare the journal entries for the rework, assuming the following: (Record debits first, then credits. Exclude explanations from any journal entries. Abbreviations used: "Pay." = Payable, "Mfg." = Manufacturing.)
a. The rework is related to a specific job.
Accounts
C....
Journal Entry
Requirements
Prepare the journal entries for the rework, assuming the following:
a. The rework is related to a specific job.
b.
The rework is common to all jobs.
c. The rework is considered to be abnormal.
- X
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