E4-30 (algo) : Question Help Data Table 17: Inception Company produces gadgets for (Click the icon to view the data.) Inception Co. uses a normal-costing syst insignificant so there is no inventory acco ing labor dollar. Indirect materials are Costs incurred: Read the requirements. $ 125,000 Purchases of direct materials (net) on credit Direct manufacturing labor cost 86,000 Indirect labor 54,500 Requirement 1. Prepare journal entries each journal entry indicate the source do for the entry. (Record debits first, then cre ted overhead to cost of goods sold. For if any, should be referenced as backup 32,000 Depreciation, factory equipment Depreciation, office equipment 7,400 Record the purchase of direct materials, Maintenance, factory equipment 21,000 Miscellaneous factory overhead 9,300 76,000 (1.) Rent, factory building Advertising expense Sales commissions 97,000 38,000 Inventories: January 1, 2017 December 31, 2017 Direct materials $ 9,200 $ 11,000 Work in process Finished goods 6,400 62,000 27,000 29,000 Choose from any list or enter any numi ? Print Done - 18 parts Check Answer remaining Inception Company produces gadgets for the coveted small appliance market. The following data reflect activity for the year 2017: (Click the icon to view the data.) Inception Co. uses a normal-costing system and allocates overhead to work in process at a rate of $2.70 per direct manufacturing labor dollar. Indirect materials are insignificant so there is no inventory account for indirect materials. Read the requirements. i Requirements X Requirement 1. Prepare journal entr each journal entry indicate the source for the entry. (Record debits first, the verhead to cost of goods sold. For hy, should be referenced as backup Record the purchase of direct materi 1. Prepare journal entries to record the transactions for 2017 including an entry to close out over- or underallocated overhead to cost of goods sold. For each journal entry indicate the source document that would be used to authorize each entry. Also note which subsidiary ledger, if any, should be referenced as backup for the entry. Post the journal entries to T-accounts for all of the inventories, Cost of Goods Sold, the Manufacturing Overhead Control Account, and the Manufacturing Overhead Allocated Account. (1.) 2. Print Done Choose from any list or enter any number in the input fields and then click Check