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Entries for Costs in a Job Order Cost System

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

Materials purchased on account, $599,490.

Materials requisitioned, $503,570, of which $65,460 was for general factory use.

Factory labor used, $617,470, of which $117,320 was indirect.

Other costs incurred on account for factory overhead, $143,880; selling expenses, $221,810; and administrative expenses, $131,890.

Prepaid expenses expired for factory overhead were $27,580; for selling expenses, $23,380; and for administrative expenses, $16,790.

Depreciation of factory equipment was $27,580; of office equipment, $40,770; and of office building, $80,330.

Factory overhead costs applied to jobs, $341,710.

Jobs completed, $791,330.

Cost of goods sold, $767,350.

Required:

Journalize the entries to record the summarized operations. For a compound transaction, if an amount box does not require an entry, leave it blank.

a. Materials purchased on account, $599,490.

Entry	Description	Debit	Credit
a.

b. Materials requisitioned, $503,570, of which $65,460 was for general factory use.

Entry	Description	Debit	Credit
b.

c. Factory labor used, $617,470, of which $117,320 was indirect.

Entry	Description	Debit	Credit
c.

d. Other costs incurred on account for factory overhead, $143,880; selling expenses, $221,810; and administrative expenses, $131,890.

Entry	Description	Debit	Credit
d.

e. Prepaid expenses expired for factory overhead were $27,580; for selling expenses, $23,380; and for administrative expenses, $16,790.

Entry	Description	Debit	Credit
e.

f. Depreciation of factory equipment was $27,580; of office equipment, $40,770; and of office building, $80,330.

Entry	Description	Debit	Credit
f.

g. Factory overhead costs applied to jobs, $341,710.

Entry	Description	Debit	Credit
g.

h. Jobs completed, $791,330.

Entry	Description	Debit	Credit
h.

i. Cost of goods sold, $767,350.

Entry	Description	Debit	Credit
i.

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