Purchased $87,200 in materials on account. Issued $3,650 in supplies from the materials inventory to...

60.1K

Verified Solution

Question

Accounting

  1. Purchased $87,200 in materials on account.
  2. Issued $3,650 in supplies from the materials inventory to the production department.
  3. Issued $43,600 in direct materials to the production department.
  4. Paid for the materials purchased in transaction (1).
  5. Incurred wage costs of $67,200, which were debited to Payroll, a temporary account. Of this amount, $22,300 was withheld for payroll taxes and credited to Payroll Taxes Payable. The remaining $44,900 was paid in cash to the employees. See transactions (6) and (7) for additional information about Payroll.
  6. Recognized $34,700 in fringe benefit costs, incurred as a result of the wages paid in (5). This $34,700 was debited to Payroll and credited to Fringe Benefits Payable.
  7. Analyzed the Payroll account and determined that 65 percent represented direct labor; 15 percent, indirect manufacturing labor; and 20 percent, administrative and marketing costs.
  8. Applied overhead on the basis of 140 percent of direct labor costs.
  9. Paid for utilities, power, equipment maintenance, and other miscellaneous items for the manufacturing plant totaling $41,300.
  10. Recognized depreciation of $26,300 on manufacturing property, plant, and equipment.

Required:

Prepare journal entries to record these transactions.

The balances that appeared in the accounts of Edwin Parts are shown as follows.

please help me solve the parts i got wrong

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students