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Finn Manufacturing Company uses a job order cost accounting system and keeps perpetual inventory records. June 1 Purchased raw materials for $20,000 on account. Raw materials requisitioned by production: 8 15 25 25 25 28 30 Direct materials Indirect materials Direct Labor Paid factory utilities, $2,100 and repairs for factory equipment, $8,000. Incurred $108,000 of factory labor. Time tickets indicated the following: Indirect Labor (7,000 hrs $12 per hr) $8,000 (3,000 hrs x $8 per hr) 1,000 = $84,000 24,000 $108,000 Applied manufacturing overhead to production based on a predetermined overhead rate of $7 per direct labor hour worked. Goods costing $18,000 were completed in the factory and were transferred to finished goods. Goods costing $15,000 were sold for $20,000 on account.

30 Goods costing $15,000 were sold for $20,000 on account. Prepare journal entries to record the above transactions during the month of June. (Credit account titles are outomatically indented when the omount is entered. Do not indent monually.) Finn Manutacturing Company uses a job order cost accounting system and keeps perpetual inventory records. June 1 Purchased raw materials for $20,000 on account. 8 Raw materials requisitioned by production: 15 Paid factory utilities, $2,100 and repairs for factory equipment, $8,000. 25 Incurred $108,000 of factory labor. 25 Time tickets indicated the following: 25 Applied manufacturing overhead to production based on a predetermined overhead rate of $7 per direct labor hour worked. 28 Goods costing $18,000 were completed in the factory and were transferred to finished goods. 30 Goods costing $15,000 were sold for $20,000 on account. Question 23 of 25 140 (To record factory labor costs) 25 (To assign factory labor to jobs and overhead) 25 (To apply overhead to jobs) 28 (To record completion of production) 30 (To record sales)

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