Assignment
EXERCISE 1. Recording Material Cost in Job-Order Costing
During the month of August, Star Plastics had material requisitions for $200,000 of materials related to specific jobs and $10,000 of miscellaneous materials classified as overhead. Required Prepare journal entries to record the issuance of materials during August.
EXERCISE 2. Recording Material Cost in Job-Order Costing
Five material requisitions (MR) forms were received by the materials storeroom of the Saint Louis Foundry during the first week of 2014. MR101 was for $250 of direct materials for job number 1501. MR102 was for $350 of direct materials for job number 1502. MR103 was for $100 of indirect materials issued to the factory floor. MR 104 was for $400 of direct materials issued to job number 1501. MR105 was for $500 of direct materials issued to job number 1503. Required Prepare summary journal entries to record the issuance of these materials. (Hint: There should be a separate journal entry for direct and indirect materials.)
Note that direct materials are charged to Work in Process while indirect materials are charged to Manufacturing Overhead.
EXERCISE 3. Recording Labor Cost in Job-Order Costing
During the month of August, Star Plastics had $70,000 of labor costs that were traced to specific jobs. The company also had $50,000 of indirect labor related to supervisory pay. (Hint: There should be separate journal entries for direct and indirect labor.) Required Prepare journal entries to record labor cost during August.
EXERCISE 4. Recording Labor Cost in Job-Order Costing
Johnson Products had the following labor time tickets for the month of February:
Required 1. Calculate the amount of direct labor cost assigned to each job. 2. Summarize the labor time tickets and prepare a journal entry to record direct labor for the month.