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Li Company produces large quantities of a standard...

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Li Company produces large quantities of a standardized product. The following information is available for its production activities for January. Raw materials Factory overhead incurred Beginning inventory $ 26,000 Indirect materials used $ 81,500 Raw materials purchased (on credit) 255,000 Indirect labor used 50,000 Direct materials used (172,000 ) Other overhead costs 159,308 Indirect materials used (81,500 ) Total factory overhead incurred $ 290,808 Ending Inventory $ 27,500 Factory overhead applied Factory payroll (140% of direct labor cost) Direct labor used $ 207,720 Total factory overhead applied $ 290,808 Indirect labor used 50,000 Total payroll cost (paid in cash) $ 257,720 Additional information about units and costs of production activities follows. Units Costs Beginning goods in process inventory 2,200 Beginning goods in process inventory Started 30,000 Direct materials $ 3,500 Ending goods in process inventory 5,900 Direct labor 3,225 Factory overhead 4,515 $ 11,240 Status of ending goods in process inventory Direct materials added 172,000 Materials?Percent complete 50 % Direct labor added 207,720 Labor and overhead?Percent complete 65 % Overhead applied (140% of direct labor) 290,808 Total costs $ 681,768 Ending goods in process inventory $ 82,128 During January, 55,000 units of finished goods are sold for $50 cash each. Cost information regarding finished goods follows. Beginning finished goods inventory $ 155,000 Cost transferred in 599,640 Cost of goods sold (612,500 ) Ending finished goods inventory $ 142,140 6. value: 10 points Required: 1(a) Prepare journal entry dated January 31 to record the purchase of raw materials. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(b) Prepare journal entry dated January 31 to record the direct materials usage. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(c) Prepare journal entry dated January 31 to record the indirect materials usage. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(d) Prepare journal entry dated January 31 to record the factory payroll costs. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(e) Prepare journal entry dated January 31 to record the direct labor costs used in production. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(f) Prepare journal entry dated January 31 to record the indirect labor costs. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(g) Prepare journal entry dated January 31 to record the other overhead costs?credit Other Accounts. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(h) Prepare journal entry dated January 31 to record the overhead applied. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(i) Prepare journal entry dated January 31 to record the goods transferred to finished goods. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31 1(j) Prepare journal entries dated January 31 to record the sale of finished goods. (Omit the "$" sign in your response.) Date General Journal Debit Credit Jan. 31

 

Paper#8171 | Written in 18-Jul-2015

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