Financial and Managerial Accounting: P17-2A Godwin Fixtures Co. uses a job order cost system

Financial and Managerial AccountingPROBLEM 17-2A Entries and schedules for unfinished jobs and completed jobs
Godwin Fixtures Co. uses a job order cost system. The following data summarize the operations related to production for April 2008, the first month of operations: 
a. Materials purchased on account, $137,000. 
b. Materials requisitioned and factory labor used: 
Job Materials Factory Labor 
No. 601 18,100 17,000 
No. 602 20,000 25,500 
No. 603 13,050 9,700 
No. 604 34,500 33,550 
No. 605 15,700 14,800 
No. 606 17,800 18,300 
For general factory use 6,600 47,000 
c. Factory overhead costs incurred on account, $4,950. 
d. Depreciation of machinery and equipment, $3,700. 
e. The factory overhead rate is $53 per machine hour. Machine hours used:
Job Machine Hours 
No. 601 215 
No. 602 230 
No. 603 175 
No. 604 300 
No. 605 198 
No. 606 225 
f. Jobs completed: 601, 602, 603, and 605. 
g. Jobs were shipped and customers were billed as follows: Job 601, $72,750; Job 602, $88,780; Job 605, $74,500. 

1. Journalize the entries to record the summarized operations. For a compound transaction, accounts should be listed in chart of account order. 
2. Post the appropriate entries to T-accounts for Work in Process and Finished Goods, using the identifying letters as dates. Insert memorandum account balances as of the end of the month. 
3. Prepare a schedule of unfinished jobs to support the balance in the work in process account. 
4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account 
Powered by