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Category > Management Posted 08 Oct 2017 My Price 8.00

Lowder Inc.

(APPENDIX 16A) JOURNAL ENTRIES, T-ACCOUNTS

 

Lowder Inc. builds custom conveyor systems for warehouses and distribution centers. During the month of July, the following occurred:

a. Purchased materials on account for $42,630.

b. Requisitioned materials totaling $27,000 for use in production: $12,500 for Job 703 and the remainder for Job 704.

c. Recorded direct labor payroll for the month of $26,320 with an average wage of $14 per hour. Job 703 required 780 direct labor hours; Job 704 required 1,100 direct labor hours.

d. Incurred and paid actual overhead of $19,950.

e. Charged overhead to production at the rate of $10 per direct labor hour.

f. Completed Job 703 and transferred it to finished goods.

g. Kept Job 704, which was started during July, in process at the end of the month.

h. Sold Job 700, which had been completed in May, on account for cost plus 30 percent.

Beginning balances as of July 1 were:

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Maurice Tutor
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Status NEW Posted 08 Oct 2017 01:10 PM My Price 8.00

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