Use the following information to answer questions. (Algo) [The following information applies to the questions displayed below.] Information on Kwon Manufacturing's activities for its first month of operations follows: a. Purchased $101,800 of raw materials on credit. b. Materials requisitions show the following materials used for the month. Job 201 Job 202 Total direct materials Indirect materials Total materials used $ 50,000 25,400 75,400 10,420 $ 85,820 c. Time tickets show the following labor used for the month. Job 201 $ 41,000 Job 202 14,400 Total direct labor 55,400 26,000 $ 81,400 Indirect labor Total labor used d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate of 80% of direct materials cost. e. Transferred Job 201 to Finished Goods Inventory. f. Sold Job 201 for $169,160 on credit. g. Incurred the following actual' other overhead costs for the month. Depreciation of factory equipment Rent on factory building (payable) Factory utilities (payable) $ 33,800 680 Expired factory insurance 980 4,800 Total other factory overhead costs $ 40,260 Exercise 19-7 (Algo) Recording materials, labor, overhead, and sales LO P1, P2, P3 Prepare journal entries to record the transactions reflected in items a through g.
Use the following information to answer questions. (Algo) [The following information applies to the questions displayed below.] Information on Kwon Manufacturing's activities for its first month of operations follows: a. Purchased $101,800 of raw materials on credit. b. Materials requisitions show the following materials used for the month. Job 201 Job 202 Total direct materials Indirect materials Total materials used $ 50,000 25,400 75,400 10,420 $ 85,820 c. Time tickets show the following labor used for the month. Job 201 $ 41,000 Job 202 14,400 Total direct labor 55,400 26,000 $ 81,400 Indirect labor Total labor used d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate of 80% of direct materials cost. e. Transferred Job 201 to Finished Goods Inventory. f. Sold Job 201 for $169,160 on credit. g. Incurred the following actual' other overhead costs for the month. Depreciation of factory equipment Rent on factory building (payable) Factory utilities (payable) $ 33,800 680 Expired factory insurance 980 4,800 Total other factory overhead costs $ 40,260 Exercise 19-7 (Algo) Recording materials, labor, overhead, and sales LO P1, P2, P3 Prepare journal entries to record the transactions reflected in items a through g.
Chapter1: Financial Statements And Business Decisions
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![Use the following information to answer questions. (Algo)
[The following information applies to the questions displayed below.]
Information on Kwon Manufacturing's activities for its first month of operations follows:
a. Purchased $101,800 of raw materials on credit.
b. Materials requisitions show the following materials used for the month.
Job 201
Job 202
Total direct materials
Indirect materials
Total materials used
$ 50,000
25,400
75,400
10,420
$ 85,820
c. Time tickets show the following labor used for the month.
Job 201
$ 41,000
Job 202
14,400
Total direct labor
55,400
26,000
$ 81,400
Indirect labor
Total labor used
d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate of 80% of
direct materials cost.
e. Transferred Job 201 to Finished Goods Inventory.
f. Sold Job 201 for $169,160 on credit.
g. Incurred the following actual' other overhead costs for the month.
Depreciation of factory equipment
Rent on factory building (payable)
Factory utilities (payable)
$ 33,800
680
Expired factory insurance
980
4,800
Total other factory overhead costs
$ 40,260
Exercise 19-7 (Algo) Recording materials, labor, overhead, and sales LO P1, P2, P3
Prepare journal entries to record the transactions reflected in items a through g.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd4f7692c-f66c-4f95-96ad-45602df2ef0b%2F6ab32bf4-6ca5-45db-aa21-1230e9fb08d9%2Fmrqg0r9_processed.png&w=3840&q=75)
Transcribed Image Text:Use the following information to answer questions. (Algo)
[The following information applies to the questions displayed below.]
Information on Kwon Manufacturing's activities for its first month of operations follows:
a. Purchased $101,800 of raw materials on credit.
b. Materials requisitions show the following materials used for the month.
Job 201
Job 202
Total direct materials
Indirect materials
Total materials used
$ 50,000
25,400
75,400
10,420
$ 85,820
c. Time tickets show the following labor used for the month.
Job 201
$ 41,000
Job 202
14,400
Total direct labor
55,400
26,000
$ 81,400
Indirect labor
Total labor used
d. Applied overhead to Job 201 and to Job 202 using a predetermined overhead rate of 80% of
direct materials cost.
e. Transferred Job 201 to Finished Goods Inventory.
f. Sold Job 201 for $169,160 on credit.
g. Incurred the following actual' other overhead costs for the month.
Depreciation of factory equipment
Rent on factory building (payable)
Factory utilities (payable)
$ 33,800
680
Expired factory insurance
980
4,800
Total other factory overhead costs
$ 40,260
Exercise 19-7 (Algo) Recording materials, labor, overhead, and sales LO P1, P2, P3
Prepare journal entries to record the transactions reflected in items a through g.
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