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Category > Accounting Posted 19 Aug 2017 My Price 11.00

Eclectic Ergonomics Company

Entries for materials

 

Eclectic Ergonomics Company manufactures designer furniture. Eclectic Ergonomics uses a job order cost system. Balances on April 1 from the materials ledger are as follows:

 

 

 

Fabric

$  67,500

Polyester filling

20,200

Lumber

150,000

Glue

6,550

 
 

 

 

 

 

The materials purchased during April are summarized from the receiving reports as follows:

 

Fabric

$338,400

Polyester filling

470,400

Lumber

902,400

Glue

32,400

Materials were requisitioned to individual jobs as    follows:

Polyester

 

Fabric

 

Filling

 

Lumber

 

Glue

 

Total

Job 81

$127,400

 

$160,800

 

$401,200

 

 

 

$   689,400

Job 82

97,200

 

145,200

 

375,000

 

 

 

617,400

Job 83

91,200

 

118,400

 

210,000

 

 

 

419,600

Factory overhead—indirect materials

 

 

 

 

 

                     

 

 

$34,800

 

 

          34,800

Total

$315,800

 

$424,400

 

$986,200

 

$34,800

 

$1,761,200

 

The glue is not a significant cost, so it is treated as indirect materials (factory overhead).

a.     Journalize the entry to record the purchase of materials in April.

b.     Journalize the entry to record the requisition of materials in April.

c.     Determine the April 30 balances that would be shown in the materials ledger accounts.

 

Answers

Maurice Tutor
(5)
Status NEW Posted 19 Aug 2017 11:08 PM My Price 11.00

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