Journalize the entries to record the summarized operations. Refer to the Chart of Accounts for exact wording of account titles.

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1.10K viewsOctober 16, 2016

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Darshita 6.14K October 16, 2016 0 Comments

Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March:

Mar.	1	Materials purchased on account, $770,000.
	2	Materials requisitioned, $680,000, of which $75,800 was for general factory use.
	31	Factory labor used, $756,000, of which $182,000 was indirect.
	31	Other costs incurred on account for factory overhead, $245,000; selling expenses, $171,500; and administrative expenses, $110,600.
	31	Prepaid expenses expired for factory overhead were $24,500; for selling expenses, $28,420; and for administrative expenses, $16,660.
	31	Depreciation of factory equipment was $49,500; of office equipment, $61,800; and of office building, $14,900.
	31	Factory overhead costs applied to jobs, $568,500.
	31	Jobs completed, $1,500,000.
	31	Cost of goods sold, $1,375,000.

Journalize the entries to record the summarized operations. Refer to the Chart of Accounts for exact wording of account titles.

CHART OF ACCOUNTS

Royal Technology Company

General Ledger

	ASSETS
110	Cash
121	Accounts Receivable
125	Notes Receivable
126	Interest Receivable
131	Materials
132	Work in Process
133	Factory Overhead
134	Finished Goods
141	Supplies
142	Prepaid Insurance
143	Prepaid Expenses
181	Office Building
191	Office Equipment
192	Accumulated Depreciation-Buildings and Equipment

score 0 · Answer 1 · 2016-10-16T08:35:29+00:00

IN the books of Royal Technology Company

Date	Description	Debit $	Credit $
March-1	Materil	770,000
	Accounts Payable		770,000

March-2	Work in Progress A/C	604,200
	TO FActroy Overhead	75,800
	TO material		680,000

March 31	Work in Process	574000
	Factory Overhead	182000
	Wages Payable		756000

March -31	Factory Overhead	245,000
	Selling Expenses	171500
	Administrative Expenses	110600
	Accounts Payable		527100

March -31	Factory Overhead	24,500
	Selling Expenses	28,240
	Administrative Espenses	16,600
	Prepaid Expenses		69,340

March 31	Depreciation Expense-Office Building	14900
	Depre. Expense-Office Equipment	61800
	Factory Overhead	49500
	Accumulated Depre.-Fixed Assets		126200

March -31	Work in Process	568500
	Factory Overhead		568500

March 31	Finished Goods	1,500,000
	Work in Process		1,500,000

March 31	Costs of Goods Sold	1,375,000
	Finished Goods		1,375000

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