REQUIRED 3
Major League Bat Company manufactures baseball bats. In addition
to its work in process inventories, the company maintains
inventories of raw materials and finished goods. It uses raw
materials as direct materials in production and as indirect
materials. Its factory payroll costs include direct labor for
production and indirect labor. All materials are added at the
beginning of the process, and conversion costs are applied
uniformly throughout the production process.
Required:
You are to maintain records and produce measures of inventories
to reflect the July events of this company. The June 30 balances:
Raw Materials Inventory, $31,000; Work in Process Inventory, $7,985
($3,260 of direct materials and $4,725 of conversion); Finished
Goods Inventory, $120,000; Sales, $0; Cost of Goods Sold, $0;
Factory Payroll Payable, $0; and Factory Overhead, $0.
1. Prepare journal entries to record the following
July transactions and events.
2. Information about the July work in process
(WIP) inventory follows. Use this information with that from part 1
to prepare a production cost report, assuming the weighted average
method is used.
3. Using the results from part 2 and the available
information, make computations and prepare journal entries to
record the following:
f. Total costs transferred to finished goods for
July.
g. Sale of finished goods costing $295,700 for
$685,000 in cash.
4. Post entries from parts 1 and 3 to the
following general ledger accounts.
5. Compute the amount of gross profit from the
sales in July.
PLEASE VIEW THE TRANSACTION LIST (CHOICES FOR BOXES)
BELOW AND THEN HELP WITH THE 3 SEPERATE JOURNAL WORKSHEETS IN THE
FOLLOWING PICTURES
- Comprehensive Problem Major League Bat Company Algo Required 3 Major League Bat Company Manufactures Baseball Bats In 1 (32.88 KiB) Viewed 46 times
Journal entry worksheet < 1 2 3 > Record the transfer of goods to Finished Goods Inventory. Note: Enter debits before credits. Transaction General journal Debit Credit f. Record entry Clear entry View general journal
Journal entry worksheet < 1 2 3 > Record sale of finished goods for cash. Note: Enter debits before credits. Transaction General journal Debit Credit 91. Record entry Clear entry View general journal
Journal entry worksheet < 1 2 3 > Record the cost of goods sold. Note: Enter debits before credits. Transaction General journal Debit Credit 92 Record entry Clear entry View general journal