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March 7 March 31 Nancy Company uses a leb Order Costing System During the month...

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Accounting

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March 7 March 31 Nancy Company uses a leb Order Costing System During the month the following transactions were completed. Record the journal entries for each transaction. March 1 Raw materials were purchased on account for $200,000 March 3 $70,000 of raw materials was issued for production. 80% of these materials were used in the direct manufacture and the remainder was used indirectly March 4 Employee salaries were accrued as follows: direct labour $300,00, indirect labour $200,000, selling $100,000 and administrative $20,000 $10,000 of advertising expense was paid in cash. Utility costs factory incurred and accrued for $80,000 March 31 Use prepaid insurance for the month was $400,000 (40% was for factory the remain was administrative) March 31 Depreciation of $250,000 was recorded (10% was attributed to factory the remaining was administrative) March 31 Manufacturing overhead was applied to jobs at the rate of 30% of direct labour costs for the month 1 March 31 Goods costing 5300,000 according to their job costs sheets were transferred to the finished goods warehouse March 31 Sales for the month totalled $780,000, all were on account. The total cost to manufacture the goods was $300,000

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