Almeda Products, Inc. uses a job-order costing system. The company's inventory balances on April 1, the start of its fiscal year, were as follows: Raw materials Work in process Finished goods $10,000 18,900 46,900 During the year, the following transactions were completed: a. Raw materials were purchased on account, $148,000. b. Raw materials were issued from the storeroom for use in production, $147,000 (65% direct and 35% indirect). c. Employee salaries and wages were accrued as follows: direct labour, $189,000; indirect labour, $79,800; selling and administrative salaries, $88,900. d. Utility costs were incurred in the factory, $63,900. e. Advertising costs were incurred, $98,900. f. Prepaid insurance expired during the year, $18,900 (85% related to factory operations, and 15% related to selling and administrative activities). g. Depreciation was recorded, $136,000 (75% related to factory assets, and 25% related to selling and administrative assets). h. Manufacturing overhead was applied to jobs at the rate of 140% of direct labour cost. i. Goods that cost $540,050 to manufacture according to their job cost sheets were transferred to the finished goods warehouse. j. Sales for the year totalled $860,000 and were all on account. The total cost to manufacture these goods according to their job cost sheets was $529,000. Required: 1. Prepare journal entries to record the transactions for the year. (If no entry is required for a particular transaction, select "No journal entry required" in the first account field.)
Almeda Products, Inc. uses a job-order costing system. The company's inventory balances on April 1 , the start of its fiscal year, were as follover: During the year, the following transactions were completed: a. Raw materials were purchased on account, $148,000. b. Raw materials were issued from the storeroom for use in production, $147,000(65% direct and 35% indirect). c. Employee salaries and woges were accrued as follows: direct labour, $189,000; indirect labour, $79,800; selling and administrative salaries, $88,900. d. Utility costs were incurred in the factoly, $63,900. e. Advertising costs were incurred, 598,900 . 1. Prepaid insurance expired during the year, $18,900(85% related to foctory operations, and 15% related to selling and administrative activities) g. Depreciation was recorded, $136,000 (75\% related to foctory assets, and 25% related to selling and administrative assets). h. Manufacturing overhead was applied to jobs at the rate of 140% of direct labour cost: 1. Goods that cost $540,050 to manufacture according to their job cost sheets were transferred to the finished goods warehouse. j. Sales for the year totalled $860,000 and were all on account. The total cost to manufacture these goods according to their job cost sheets was $529,000 Required: 1. Prepare journal entries to record the transactions for the year. (If no entry is required for a particular transaction, select "No journal
